The semiconductor industry worldwide is to experience another year of low production value as the COVID-19 pandemic dampens demand for chips used in mobile phones and automotive devices according to TrendForce.
PC and server sales will also see a decline leading to an opaque outlook for business prospects.
Increases in supply chain inventory might lead to milder revenue growth for the semiconductor industry in the second half of 2020.
“Due to the impact of the pandemic, consumer electronics, [and] automotive and communications segments are at a higher likelihood of reporting contraction, while computing [and] industrial devices are to have better growth opportunities,” TrendForce said.
Smartphone and automotive chips account for more than 50 percent of the semiconductor industry’s overall production value, their decline drags down the overall chip industry
TrendForce is a Taipei-based research house and global leader in providing in-depth market intelligence and professional consultation services for clients across a diverse range of industries.
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