The ever mounting push for a reduction in energy consumption and longer battery life in consumer devices is helping to accelerate adoption of LEDs, which are now the fastest growing among optoelectronics product segments. This trend will continue further as commercial and industrial lighting retrofits increasingly occur around the globe.

The semiconductor market as a whole will experience nominal growth in 2011. This is following a strong rebound growth year in 2010. Mounting demand for semiconductors are being driven by new consumer electronics, a rebounding global economy, and returning replacement cycles in the computer and industrial segments. Despite the automotive segment continuing its recovery, there will be some slowing in the second half. Finally, the communications market will remain important, thanks to a slew of new smart phone sales in emerging markets.

Semiconductor capital expenditures are expected to continue to accelerate in 2011, which could lead to market declines in late 2012. If this takes place, it will lead to a decrease in semiconductor prices starting in 2013. This would be the result an oversupply of semiconductor supplies at foundry and contract manufacturers. Thanks to its considerable growth over the past year, Intel is expected to move into the top spot as capital expenditure spender in 2011, followed by Samsung and TSMC.

TABLE OF CONTENTS

Significant Findings  
   Semiconductor Market Update  1
   Optoelectronics Market Update  2
   LED Market Update . 4

Regional Market Forecast
  Regional Market Share  9
  Americas  12
  Europe . 14
  Japan. 16
  Taiwan 18
  Korea . 20
  China  22

Application Consumption Analysis  
  Market Segment Share. 25
  Automotive . 27
  Solid State Lighting  30
  Computers . 33
  Consumer  38
  Communications  45
  Industrial 53

Market Share Analysis  
  Market Share Summary . 65
  Cree  70
  Nichia . 71
  Epistar  71
  OSRAM Opto Semiconductors  71
  Rohm . 72

Methodology  

Market and Product Segmentation Definitions
  Market Segmentation. 75
    Automotive  75
    Computers  77
    Consumer . 78
    Communications . 79
    Industrial. 80
  Product Segmentation . 83
     Discretes . 83
     Optoelectronics . 84
     Sensors and Actuators  84
     Logic 84
     Analog . 85
     Memory  85
     Processors  85

LIST OF FIGURES

Figure 1: Worldwide Optoelectronics Market Forecast (Revenue, Units, and ASPs)  4
Figure 2: Worldwide LED Market Forecast (Revenue, Units, and ASPs) 7
Figure 3: Worldwide OLED Display Market Forecast (Revenue, Units, and ASPs) . 8
Figure 4: 2011 and 2016 Worldwide LED Revenue Share by Region  10
Figure 5: 2011 and 2016 Worldwide LED Shipment Share by Region  11
Figure 6: Americas LED Revenue Forecast  14
Figure 7: Europe LED Revenue Forecast . 16
Figure 8: Japan LED Revenue Forecast . 18
Figure 9: Taiwan LED Revenue Forecast 20
Figure 10: Korea LED Revenue Forecast . 22
Figure 11: China LED Revenue Forecast  23
Figure 12: 2011 and 2016 LED Revenue Share by Market Segment  26
Figure 13: Worldwide Automotive LED Revenue Forecast  28
Figure 14: Worldwide Legacy Lighting Revenue Forecast (Light bulbs and Fixtures). 32
Figure 15: Worldwide Solid State Lighting Revenue Forecast by Product Type. 33
Figure 16: Worldwide Computer LED Revenue Forecast by Application  35
Figure 17: Worldwide Consumer LED Revenue Forecast by Application  39
Figure 18: Worldwide Communications LED Revenue Forecast by Application  46
Figure 19: 2011 and 2016 Worldwide Mobile Phone Revenue Share by Type 49
Figure 20: 2011 and 2016 Worldwide Mobile Phone Shipment Share by Type  50
Figure 21: Worldwide Industrial LED Revenue Forecast by Application Area  54
Figure 22: 2010 LED Revenue Share by Supplier  65

LIST OF TABLES

Table 1: Worldwide Semiconductor Revenue Forecast by Product  2
Table 2: Worldwide Optoelectronics Market Forecast (Revenue, Units, and ASPs) 3
Table 3: Worldwide Optoelectronics Revenue Forecast by Product  4
Table 4: Worldwide LED Market Forecast (Revenue, Units, and ASPs) . 6
Table 5: Worldwide OLED Display Market Forecast (Revenue, Units, and ASPs) . 7
Table 6: Worldwide LED Revenue Forecast by Region . 12
Table 7: Worldwide LED Shipment Forecast by Region 12
Table 8: Americas LED Market Forecast (Revenue, Units, and ASPs)  14
Table 9: Europe LED Market Forecast (Revenue, Units, and ASPs) . 16
Table 10: Japan LED Market Forecast (Revenue, Units, and ASPs)  18
Table 11: Taiwan LED Market Forecast (Revenue, Units, and ASPs) . 20
Table 12: Korea LED Market Forecast (Revenue, Units, and ASPs) . 22
Table 13: China LED Market Forecast (Revenue, Units, and ASPs)  24
Table 14: Worldwide LED Revenue Forecast by Market Segment . 27
Table 15: Worldwide Automotive Application Revenue Forecast by Equipment Type 29
Table 16: Worldwide Automotive Application Shipment Forecast by Equipment Type  30
Table 17: Worldwide Legacy Lighting Revenue Forecast (Light bulbs and Fixtures)  32
Table 18: Worldwide Solid State Lighting Revenue Forecast by Product Type  33
Table 19: Worldwide Computer LED Revenue Forecast by Application  34
Table 20: Worldwide Computer Application Revenue Forecast by Equipment Type . 36
Table 21: Worldwide Computer Application Shipment Forecast by Equipment Type . 37
Table 22: Worldwide Consumer LED Revenue Forecast by Application . 38
Table 23: Worldwide Audio/Video Consumer Application Revenue Forecast by Equipment Type . 42
Table 24: Worldwide Audio/Video Consumer Application Shipment Forecast by Equipment Type 43
Table 25: Worldwide Other Consumer Application Revenue Forecast by Equipment Type. 44
Table 26: Worldwide Other Consumer Application Shipment Forecast by Equipment Type . 45
Table 27: Worldwide Communications LED Revenue Forecast by Application . 46
Table 28: Worldwide Mobile Phone Revenue Forecast by Type . 48
Table 29: Worldwide Mobile Phone Shipment Forecast by Type . 48
Table 30: Worldwide Communications Applications Revenue Forecast by Equipment Type . 51
Table 31: Worldwide Communications Applications Shipment Forecast by Equipment Type . 52
Table 32: Worldwide Industrial LED Revenue Forecast by Application Area . 53
Table 33: Worldwide Test and Measurement Application Revenue Forecast by Equipment Type  54
Table 34: Worldwide Test and Measurement Application Shipment Forecast by Equipment Type. 55
Table 35: Worldwide Home Medical Application Revenue Forecast by Equipment Type . 55
Table 36: Worldwide Home Medical Application Shipment Forecast by Equipment Type . 56
Table 37: Worldwide Medical Imaging Application Revenue Forecast by Equipment Type . 56
Table 38: Worldwide Medical Imaging Application Shipment Forecast by Equipment Type  57
Table 39: Worldwide Clinical Medical Application Revenue Forecast by Equipment Type . 58
Table 40: Worldwide Clinical Medical Application Shipment Forecast by Equipment Type . 59
Table 41: Worldwide Mil/Aero Application Revenue Forecast by Equipment Type  60
Table 42: Worldwide Mil/Aero Application Shipment Forecast by Equipment Type  61
Table 43: Worldwide Process Control Application Revenue Forecast by Equipment Type  62
Table 44: Worldwide Process Control Application Shipment Forecast by Equipment Type. 63
Table 45: 2010 and 2009 Worldwide LED Revenue Share by Supplier . 66
Table 46: 2010 and 2009 Americas LED Revenue Share by Supplier  67
Table 47: 2010 and 2009 Europe LED Revenue Share by Supplier 68
Table 48: 2010 and 2009 Japan LED Revenue Share by Supplier . 69
Table 49: 2010 and 2009 Asia Pacific LED Revenue Share by Supplier  70