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STRATEGY ANALYTICS:GaAs Device Market Expansion of 76 Percent through 2011

Cellular Handsets and Wi-Fi Drive GaAs Demand Engine

June 1, 2007
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Boston, MA - May 2, 2007 - The Strategy Analytics annual five year outlook for the Gallium Arsenide microelectronics industry, "GaAs Industry Forecast: 2006-2011," forecasts that this market will enjoy a CAAGR of 12 percent, growing from $3 billion in 2006 to over $5 billion by 2011.


Wireless applications will provide the growth engine for the GaAs industry, accounting for 79 percent of total GaAs MMIC demand in 2011. Cellular handsets will remain the largest market for GaAs devices with Wi-Fi applications predicted to become the second largest market for GaAs components from 2007 onwards.

"We are seeing a variety of power amplifier (PA) approaches applied in the cellular handset front-end ranging from PA, PA-switch and PA-filter modules," observed Asif Anwar, Director of the Strategy Analytics GaAs and Compound Semiconductor Technologies service. "Regardless of approach, we believe that GaAs HBTs will rule the PA with Si LDMOS continuing to lose market share."

"GaAs device demand from the Wi-Fi market will grow at a CAAGR of 28 percent through 2011," noted Stephen Entwistle, Vice President of the Strategic Technologies Practice at Strategy Analytics. "GaAs will govern PA functions as the market moves to 802.11n. GaAs HBT PAs and GaAs pHEMT switches will also dominate Wi-Fi PA-switch modules."

Outside of wireless applications, GaAs device demand from consumer (CATV and DBS), millimeter-wave and fiber-optic markets will grow at CAAGRs ranging from 6 percent to 11 percent through 2011.

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