The semiconductor industry may be slowing down according to a new report released by the Fabless Semiconductor Association.

For the first half of 2007, the semiconductor industry revenue totaled $129.3 billion, mostly in line with firms' predictions that semiconductor revenue will reach around $270 billion by year's end. North American semiconductor companies represented 52 percent of that revenue, followed by Asia with 37 percent, Europe with 11 percent, and India with less than 1 percent.

Many companies showed solid quarter-over-quarter gains in Q2 but are still lagging behind the performances they enjoyed one year ago, however. The top five packaging and test companies by Q2 revenue reported $2.4 billion in revenue, an increase of 4 percent from Q1, but a 3 percent decrease year-over-year.

Fabless companies design processors, memories, and other semiconductors in-house, then outsource to a foundry for fabrication.

Leading foundries, TSMC, UMC, SMIC and Chartered, reported $3.7 billion in revenue in Q2, an increase of 10 percent from Q1, but a decrease of 7 percent year-over-year, according to the report.

The top 10 semiconductor companies by Q2 revenue (see below) combined for $30 billion, or 47 percent, of total Q2 semiconductor revenue, FSA reported.