Industry Sees Chips Cooling

After record-setting sales of an estimated $214 billion this year, the worldwide semiconductor industry should stall and see zero growth in 2005, the lead chip trade group predicted today.

The Semiconductor Industry Association said it's gearing for sales in 2004 to rise 29% from last year's levels, sticking with the prediction it made last June in one of its biannual forecasts.

The group, however, expects chip revenue to stay flat in 2005, a slightly worse outlook than it was expecting as of June. At the time, the SIA thought chip sales would be able to eke out 4% growth next year. ...