Semiconductor sales dropped by 0.5 percent in June, driven by lower consumer demand, according to a a report by the Semiconductor Industry Association.

Sales were $24.7 billion in June, down slightly from the $24.8 billion during the same time last year. Sales also were down during May, according to the monthly survey. Despite the monthly drop in sales, the industry saw a 3.7 percent increase in global sales during the first six months of the year, and it is on track for a 5.4 percent annual growth rate in 2011, the report said.

The industry saw gains in the businesses buying computers and investment in infrastructure along with growth in emerging markets, but consumer demand remained soft. All industry regions except for Japan did well. It is not surprising really. Japan is still recovering from a major earthquake and tsunami that struck the country in March.