Give away medical masks when you place an order. learn more

Semiconductor Equipment Book-to-Bill Ratio Declines as New Orders Sag



Orders for new semiconductor equipment are weakening as chipmakers hesitate to expand capacity or upgrade fabs.
Orders for new semiconductor equipment are slowing down, indicating hesitation of chip suppliers to invest, a slowdown in computer demand, and low foundry utilization.

The book-to-bill ratio for semiconductor equipment fell to 0.86 in July, down from 0.94 in June, according to trade Association SEMI.

The three-month average of worldwide bookings in July 2011 was $1.30 billion, 15.7 percent less than it was in June when bookings totaled $1.54 billion. The July 2011 bookings figure also declined 29.3 percent from July 2010 when bookings totaled $1.84 billion, SEMI reported.

The three-month average of worldwide billings in July 2011 was $1.52 billion, about 7.6 percent less than the final June 2011 level of $1.64 billion. The July 2011 bookings figure increased 1.4 percent from July 2010 billings level of $1.50 billion.

Stanley T. Myers, president and CEO of SEMI said semiconductor equipment billings remain higher than levels a year ago. However, bookings have dropped significantly consistent with the "temporary softening of end-market demand signaled by slower PC sales, low foundry utilization, and investment hesitation by memory chip makers."

Supplier