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Tue, May 22, 2012

Semiconductor Industry Looks to Benefit From Rapidly Growing Smartphone Demand


Published on 2012-05-22 05:35:23 - Market Wire
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May 22, 2012 08:20 ET

Semiconductor Industry Looks to Benefit From Rapidly Growing Smartphone Demand

Five Star Equities Provides Stock Research on Intel and Broadcom

NEW YORK, NY--(Marketwire - May 22, 2012) - The Semiconductor Industry in recent years has shifted its focus from personal computers to smartphones, and companies who have evolved with the times have profited. According to Gartner Inc. smartphone shipments globally are expected to total 655 million in 2012, more than double 2010's total of 299 million. In the same period the PC market only grew 5 percent to 368 million units. Five Star Equities examines the outlook for companies in the Semiconductor Industry and provides equity research on Intel Corporation (NASDAQ: [ INTC ]) and Broadcom Corporation (NASDAQ: [ BRCM ]).

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The rapid rise in demand for smartphones has resulted in a shortage of a key component. Qualcomm last month has stated that they can't keep up with demand of their latest baseband chips. This presents a major problem for the growth of smartphones, which according to recent Bloomberg Industries data is expected to generate an estimated $219 billion in 2012. Sravan Kundojjala, an analyst for Strategy Analytics Ltd., has estimated the demand for Qualcomm's LTE baseband chips to be at least 30 million, which Qualcomm may only be able to supply as little as half.

Five Star Equities releases regular market updates on the Semiconductor Industry so investors can stay ahead of the crowd and make the best investment decisions to maximize their returns. Take a few minutes to register with us free at [ www.FiveStarEquities.com ] and get exclusive access to our numerous stock reports and industry newsletters.

Intel Corporation last month reported quarterly revenue of $12.9 billion, operating income of $3.8 billion, net income of $2.7 billion and EPS of $0.53. "The first quarter was a solid start to what's expected to be another growth year for Intel," said Paul Otellini, Intel president and CEO. "In the second quarter we'll see the first Intel-based smartphones in the market, ship products based on 22nm tri-gate technology in high volume, and accelerate the ramp of our best server product ever, providing a tremendous foundation for growth in 2012 and beyond."

Broadcom Corporation, a global innovation leader in semiconductor solutions for wired and wireless communications, recently introduced the BCM56545 series, the world's first high performance stackable enterprise switch series with integrated and wire-speed application-level visibility and mobility features suited for the Enterprise 2.0 workplace.

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