Infineon raises 2004 global chip forecast

Germany's Infineon raised its 2004 forecast for global chip industry despite concerns about growth in the US semiconductor market.

German chipmaker Infineon raised its 2004 forecast for the global chip industry on Tuesday despite concerns about growth in the US semiconductor market due to currency and oil price risks.

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"We are rather more optimistic for the current year," an Infineon spokesman said, adding that the world's seventh-biggest chipmaker by sales now expected the global chip market to grow by more than the 22 per cent it had forecast in April.

He declined to be more specific about the company's new forecast, which still looks cautious compared with some other estimates.

Market researcher Gartner sees semiconductor sales growing by at least 25 per cent this year and the World Semiconductor Trade Statistics group (WSTS) expects 28.4-per cent growth.

Earlier on Tuesday, a chip industry group said the world's semiconductor factories operated at their fastest rate in almost four years in the April-June period to meet chip demand especially from cellphone and consumer appliance makers.