After a downcycle, it looks as if growth is returning to the semiconductor industry. In this article, many big names in the industry are predicting at least sequential growth. That has to be good news for everyone in the entire semiconductor ecosystem, from capital equipment makers, software design makers, testing and packaging houses, and yes, even patent attorneys.
It's been no secret that the semiconductor industry has been hit hard by the downturn in the economy. Much of what is produced by the industry is used in consumer electronics, and with little consumer appetite these few quarters, obviously there is less need for chips. But everything I have been reading and watching seems to indicate that we aren't going any deeper into the tank, but are starting to stabilize.
What are the ramifications of this? For startups and smaller companies, this may mean more dealmaking and easier fundraising. I was talking to my partner, Scott Joachim, yesterday and we agreed that if we can put a bottom in, hopefully that will loosen up transactions. For the past 9 months, companies have been handing onto their cash like it was their lifeblood (which of course it is!). But keep your eyes open for my prediction of more deals being done later this year - VC funding, mergers & acquisitions, and the like.
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