SAN FRANCISCO — Semiconductor sales increased again in July, but may finally be showing signs of cooling.

The three-month average of chip sales grew to $39.5 billion in July, up 17.4% from July 2017, according to the Semiconductor Industry Association. While the year-to-year growth rate remains healthy, July snapped a streak of 15 consecutive months of greater than 20% year-to-year increases.

Chip sales also increased on a sequential basis — just barely. The three-month average of chip sales in July was up by a modest 0.4%, according to the SIA, which reports sales data compiled by the World Semiconductor Trade Statistics organization.

“The global semiconductor industry posted its highest-ever monthly sales in July, easily outpacing last July and narrowly ahead of last month’s total,” said John Neuffer,SIA's  president and CEO, in a statement. “Sales were up year-to-year across every major semiconductor product category and regional market, with the China and Americas markets leading the way with growth of greater than 20%.”

Sales increased on an annual basis by 29.4% in China, 20.7% in the Americas, 11.7% in Europe, 11.5% in Japan and 5.7% in the Asia-Pacific region, according to the SIA. On a month-to-month basis, sales were up 1.7% in China, 0.4% in the Americas and were flat in the Asia-Pacific region, with both Europe and Japan experiencing decreases, the SIA said.

Three-month average of chip sales in July. Source: SIA, WSTS
Three-month average of chip sales in July.
Source: SIA, WSTS

— Dylan McGrath is the editor-in-chief of EE Times.