Medical Chip Market Set to Boom

From EETimes, this factoid, which is food for thought for semi investors, who can’t seem to get their heads out of communications markets:

The medical electronics market for semiconductors will reach over $2 billion in 2005, according to market research firm Databeans Inc. (Reno, Nv).

With a compound annual growth rate of 11 percent each year for the next five years, Databeans expects the semiconductor market for medical applications to reach $3.5 billion by 2010.

The home diagnostics market is expected to contribute roughly 50 percent of revenue, with a remaining 25 percent will be in imaging, and 25 percent contributed by other diagnostic or therapeutic electronics, according to the firm.

“The medical electronics products currently generating the most revenue for semiconductors would include blood glucose meters, ultrasound equipment and digital thermometers,” according to Databeans. “Demand for precision amplifiers, data converters, analog power management, and RISC processors are all elevated by these applications.”