The production value of Taiwan's IC design industry is expected to increase 7.4% on year to NT$570.75 billion (US$17.4 billion) in 2016, according to Digitimes Research.
Device vendors have started to replenish inventory since March, while demand in China's smartphone market is picking up. The industry should be able to generate sequential growth in production value through the third quarter, Digitimes Research indicated.
Taiwan's IC design industry will continue to be led by MediaTek, which will have its Helio-series mobile SoCs drive the company's 2016 growth, Digitimes Research said.
Digitimes Research also forecast that the production value of Taiwan's IC design service sector will rise 6.6% on year to NT$21.97 billion in 2016. And buoyed by new orders placed by IDMs and system vendors, NRE (non-recurring engineering) as a proportion of Taiwan's IC design service companies' combined revenues will climb further in 2016.
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