TI CEO Sees Big Chip Spike Ahead Print E-mail
Written by Mike Buetow   
Wednesday, 15 February 2012 14:24

DALLAS -- Texas Instruments' chief executive says semiconductor manufacturers are poised to see a spike in demand once inventories have been drawn down.

TI CEO Richard Templeton told analysts at a Goldman Sachs conference that the inventory corrections are ending, if they haven't already, thus bringing to a close a steep decline in unit shipments started last July.

The industry response to high demand is cyclical and to a degree predictable, Templeton said. "You watch those unit shipments drop and then you watch those unit shipments go skyrocketing up, literally in the next two quarters, because our supply chain always overreacts."

"Everybody is going to realize they overcompensated, their inventories are lean, they don't have enough product, and it'll go back and do a pretty sharp snap-back."

 

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