Hanover, Mar 3: Global semiconductor sales in January were flat year on year at $21.5 billion as falling memory chip prices were balanced by gains in other chip types, the Semiconductor Industry Association said on Monday.

Excluding memory chips, sales rose 8.1 percent as unit shipments of personal computers (PCs) and mobile phones -- the main two end markets for semiconductors -- were in line with expectations, the U.S.-based SIA said in a statement.

"Even with healthy demand from important end markets, a very competitive environment resulted in price pressures for these (memory) products which in turn led to continued erosion in average selling prices," it said.

The SIA added PC unit shipments were expected to grow 12 percent this year, and those of mobile phones by 12-15 percent.

Overall, January semiconductor sales fell 3.6 percent from December's level, in line with normal seasonal patterns.

By 1151 GMT, the European technology index <.SX8P> was down 2.4 percent, underperforming wider European markets.

Makers of standard DRAM memory chips used in PCs last year suffered a prolonged, steep fall in prices, which ended 2007 down about 90 percent.

The SIA said the effects of a slowing U.S. economy might be balanced by consumer demand from other markets, which were growing in importance.

"The U.S. economy has entered a period of slower growth that may impact consumer purchases of electronic products," SIA President George Scalise said in the statement.

"However, the emergence and growth of large consumer markets outside the U.S. has created new opportunities for chipmakers."

The association said the U.S. was expected to account for 21 percent of PC shipments this year, down from more than 40 percent in 1998.