The combined demand for integrated circuits used in handsets is expected to surpass that of personal computers this year, industry watchers said Wednesday.

The IC sales for hand-held mobile devices are projected to reach US$84.4 billion in 2017, up 16 percent on-year, the report released by industry tracker IC Insights showed. In contrast, that of PCs is anticipated to move up 9 percent to reach $80.1 billion, it added.

"The ongoing slump in shipments of standard personal computers, along with the drop-off in tablets, is setting the stage for cellphone IC sales to finally surpass earnings generated in personal computing systems this year," the researcher said.

The industry tracker added the shipment of smartphones is expected to rise 5 percent on-year in 2017, while those for PCs will decline 3 percent.

The gap in IC sales between handsets and PCs will also continue to expand down the road through 2020, it added. (Yonhap)