The latest Strategy Analytics reports on the WiMAX and WLAN markets, "GaAs Device Demand from WLAN Market: 2005-2010" and "WiMAX Market Forecast: 2005-2010," demonstrate that GaAs device demand from these two applications will show significant growth, with overall demand approaching $1 B by 2010, second only to demand from the cellular handset market.

While the WiMAX market will remain in the early stages, GaAs semiconductors will dominate specific functions in the RF module and demand will grow at a compound annual average growth rate (CAAGR) of 69 percent. The WLAN market continues to ramp and is moving to higher frequencies and multi-mode and multi-band architectures that play to the advantages of linearity, efficiency and high frequency capabilities offered by GaAs.

"In terms of GaAs demand, the WiMAX and WLAN markets will emulate the cellular handset market," notes Asif Anwar, director of the Strategy Analytics GaAs and Compound Semiconductor Technologies service. "Without expecting all-GaAs solutions, we do predict that amplifiers and switches will be the primary market for GaAs technology, with silicon technologies dominating the transceiver and baseband markets."

"The adoption of MIMO and 802.11n, which require multiple PAs, transceivers and more complex front-end modules, will have a big impact on GaAs demand," adds Chris Taylor, director of the Strategy Analytics RF and Wireless Components service. "While WiMAX will still be in an early stage of rollout in 2010, certification of WiMAX equipment has started and coverage areas have begun to expand beyond basic trials, providing a real target market for GaAs suppliers."