What do chips sell for on average? Try fifty one cents

Selling something for 50.9 cents may not sound like a lot of fun, but it's good news for the semiconductor industry, says research firm Semico.

Semico says that the chip industry is all right and will see revenues grow by 17.3 percent in 2006. Factories are full, manufacturers are optimizing their production lines for greater output, and prices aren't plummeting, often a problem.

"We are seeing longer lead times, with stable to rising prices on many devices. This is something that the semiconductor industry has not enjoyed for several years," the firm stated.

The average selling price for all semiconductors worldwide in March rose to 50.9 cents. Yes, it sounds low but that's 6.5 percent up from 47.8 cents in February. Granted, Intel and AMD chips cost more, but there are a lot of different types of chips out there.

Tech Culture
About the author

    Michael Kanellos is editor at large at CNET News.com, where he covers hardware, research and development, start-ups and the tech industry overseas.


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