iSuppli: Apple To Spend $27 Billion On Semiconductors In 2012

Posted May 23, 2012

iSuppli’s head of electronics and semiconductor research Dale Ford is predicting that Apple will spend $27 billion on semiconductors in 2012. He presented his prediction at the company’s Technology, Media, and Telecommunications Summit. Apple is set to maintain a huge lead over Samsung through at least 2013. Apple went from being the third largest buyer of semiconductors in 2009 to the front in 2010. According to iSuppli, Apple spent $23 billion on semiconductors in 2011, which is over 50% more than their closest rivals. Ford also pointed out that Apple’s microprocessor spending has grown from $9 billion in 2009 to $27 billion this year. Ford is predicting that Apple will spend $29 billion on semiconductors next year.

Intel remains the largest chipmaker with a 15% marketshare of the semiconductor market. The market was estimated to be at $311 billion last year. Samsung has 9% of the market. When Apple acquired Intrinisty, the company designed the A4 system-on-a-chip processor that made its way into the original iPad and the iPhone 4. Apple also has a stake in Imagination Technologies, the company that provides graphic processors for the A-series chips.