5G Demand Stirring Higher Silicon Content in Smartphones: Applied CEO

With broadening adoption of 5G handsets, “silicon content in smartphones is growing at double-digit [percentage] rates,” said Applied Materials CEO Gary Dickerson on a quarterly call Thursday. Historic pandemic-fueled spikes in consumer and enterprise demand for technology are “irreversible, since new ways of working offer compelling advantages in terms of time and productivity,” he said. “Within the electronics ecosystem itself, key technology inflections are driving increasing silicon consumption.” Companies are “rethinking and reengineering the way they operate and there's an immense pull for advanced technology,” said Dickerson. “Consumers are making different choices about the way they spend their time, and the products and services they buy.” Revenue for the quarter ended Jan. 31 was a record $5.16 billion, up 24% year over year. The stock closed 5.3% higher Friday at $119.46.