Gartner Shaves $36.7B Off Its 2022 Semiconductor Forecast
Global semiconductor revenue growth is expected to slow to 7.4% in 2022, down from 2021's actual growth of 26.3%, and lower than the 13.6% growth in 2022 that Gartner had projected in previous forecasts, reported the research company Wednesday. Though…
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the chip shortages are abating, the global semiconductor market “is entering a period of weakness, which will persist through 2023 when semiconductor revenue is projected to decline 2.5%,” said Gartner Vice President Richard Gordon. “We are already seeing weakness in semiconductor end markets, especially those exposed to consumer spending. Rising inflation, taxes and interest rates, together with higher energy and fuel costs, are putting pressure on consumer disposable income. This is affecting spending on electronic products such as PCs and smartphones.” Gartner reduced its 2022 semiconductor revenue forecast by $36.7 billion from its previous outlook, to $639.2 billion, as economic conditions are expected to worsen through the year. “Memory demand and pricing have softened, especially in consumer-related areas like PCs and smartphones,” said Gartner.