Worldwide semiconductor revenue declined 2.3 per cent to USD 334.8 billion last year on account of slowing demand for key applications and currency fluctuations, a report by Gartner said today.
In 2014, the worldwide semiconductor revenue stood at USD 342.62 billion.
"Worldwide semiconductor revenue totalled USD 334.8 billion in 2015, a 2.3 per cent decline, from 2014," Gartner said in a statement.
It further said the combined revenue of the top 25 semiconductor vendors fell by 0.5 per cent in 2015. The sector performed better than the rest of the market, which saw a 6.9 per cent decline in revenue.
The top 25 vendors accounted for 73.5 per cent of the market, down slightly from 74 per cent in 2014, it added.
"The worldwide semiconductor market declined in 2015 as slowing demand for key applications, combined with strong currency fluctuations to subdue the market," said Andrew Norwood, research vice president at Gartner.
Intel retained the number one market share position for the 24th consecutive year, capturing 15.4 per cent of the worldwide market, despite experiencing 1.2 per cent decline in revenue in 2015.
Samsung Electronics held the second spot with a market share of 11.3 per cent in 2015. SK Hynix stood at the third position with a market share of 4.9 per cent, while Qualcomm was down to the fourth spot at 4.8 per cent market share.
Gartner said the year saw record merger and acquisition (M&A) activity between major semiconductor vendors, including several acquisitions and disposals that had a material effect on semiconductor sales.
"Among the most significant deals was Intel's acquisition of Lantiq. Driven by Lantiq's broadband gateway and digital home capabilities, this acquisition helped Intel nearly double its wired ASSP business," it added.
Norwood added semiconductor revenue results were skewed by the large amount of M&A activity during the year.
