IC distributors including WPG Holdings, WT Microelectronics and Zenitron now expect sales for the first quarter of 2011 to outperform seasonal patterns as customers step up procurement ahead of the Lunar New Year, according to sources at the companies.

In addition, clients in Europe and the US have been clearing their existing inventories faster than expected thanks to clearer buying sentiment ahead of the year-end shopping season, the sources indicated.

WPG has reiterated that the company will be less significantly impacted by seasonal effects in the first quarter of 2011. Buoyed mainly by a merger with Yosun Industrial, WPG expects fourth-quarter revenues to grow 6-10% sequentially.

WT said it remains positive about demand coming from the PC sector especially tablet PCs in 2011. The company will also focus on higher-margin products for industrial and other specific applications.

Driven by demand for touch panel ICs, USB 3.0 products and other solutions for smartphones and tablets, Zenitron expects to generate revenue growth in 2011.