Samsung topples Apple to become the world’s largest semiconductor consumer in 2012: Gartner

Samsung and Apple have always been gunning for each other over market shares. While Samsung was the world’s largest smartphone vendor, Apple has been the biggest consumer of semiconductors thanks to its runaway successful range of iOS devices, especially iPhones and iPads. However, that seems to be changing as Gartner suggests Samsung has overtaken Apple in that space too.

According to Gartner, Samsung was the world’s largest semiconductor consumer in 2012. Samsung Electronics and Apple both have managed to garner the maximum demand for semiconductor in the last year with close to 15 per cent of the total market share. However, Samsung clearly emerged out as as the top worldwide semiconductor customer, pushing Apple to the second spot. Apart from these two, Nokia is reported to be contracting its demand the most by pruning on semiconductors by 42.6 per cent.

Samsung and Apple have together consumed $45.3 billion worth of semiconductors in 2012, with $23.9 billion and $21.4 billion of semiconductors respectively. The reports also depicts that the gross demand has decreased by 3 per cent, as 6 out of the top 10 electronic equipment makers have reduced their demands. So while it was $306.8 billion market demand in the year 2011, the year 2012 had resulted in $297.6 billion of semiconductors.

Unlike earlier, this year there has been a lower demand for semiconductors by the PC manufacturers. The report suggests that proliferation of products like smartphones and tablets have affected the demands for PC, causing a substantial dip in the semiconductor demand by PC manufacturers.

Top 10 Semiconductor Design TAM by Company, Worldwide 2012, Preliminary (Billions of Dollars)

Rank

2011

Rank

2012

Company

2011

2012

2011-2012 Growth (%)

Share (%)

2

1

Samsung Electronics

18.6

23.9

28.9

8.0

1

2

Apple

18.8

21.4

13.6

7.2

3

3

HP

16.0

14.0

-12.7

4.7

4

4

Dell

9.9

8.6

-13.4

2.9

8

5

Sony

7.7

7.9

1.9

2.7

7

6

Lenovo

7.8

7.8

0.3

2.6

6

7

Toshiba

7.8

6.5

-17.1

2.2

9

8

LG Electronics

6.5

6.0

-6.7

2.0

11

9

Cisco

5.4

5.4

-0.8

1.8

5

10

Nokia

8.6

5.0

-42.6

1.7

Others

199.7

191.1

-4.3

64.2

Total

306.8

297.6

-3.0

100.0

TAM = total available market

Source: Gartner (January 2013)