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GaAs ICs will dominate WLAN PAs and switches

The proliferation of wireless LANs is good news for GaAs IC manufacturers.
Strategy Analytics is forecasting 139% growth in the WLAN GaAs IC market in 2003, and a compound annual average growth rate of 21% through to 2008. The market research company’s report, "GaAs Device Demand from WLAN Applications," says that switches and PAs will represent the main opportunities for GaAs devices. By 2008, GaAs power amplifiers will account for 67% of the 177 million units shipped. Strategy Analytics predicts that all WLAN switch ICs will use GaAs technology, with dual-band systems that cover 5 GHz and 2.4 Ghz frequencies incorporating up to two switches per system.

"Harmonization of worldwide 5 GHz WLAN operation, and a rapid move towards dual-band systems incorporating 802.11a/g combo devices, will provide the momentum for the GaAs IC market," said Asif Anwar, senior analyst at Strategy Analytics. "The power amplifier, in particular, will be a bright spot."

"Anadigics, Microsemi and Raytheon are the early leaders in the WLAN GaAs power amplifier market," observed Stephen Entwistle, VP of Strategic Technologies Practice. "RF Micro Devices and Skyworks are the market leaders for GaAs power amplifiers for cellular handsets, and the WLAN market will be their next target."

The report also finds that the overall market for RF and associated chips for 802.11, including power amplifiers and switches, will grow from $487 million in 2002, to $637 million in 2003. By 2008, dual-band 802.11a/g combo devices will make up more than 75% of the devices shipped.

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