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@ 2022/11/30Global economy and consumer demand goes down the loo
Beancounters at*Gartner have consulted their tarot cards and predicted that semiconductor revenue growth is now going to decline by 3.6 per cent in 2023 due to the “rapid deterioration” of the global economy and weakening consumer demand.
Initially, the company expected that semiconductor revenue would grow from $618 billion in 2022 to $623 billion in 2023, but this latter figure has now been downgraded to $596 billion, just a billion more than the $595 billion in revenue that was seen in 2021.
Revenue from consumer spending has been in a tail spin due to a decline in disposable income and the industry has been propped up by enterprise spending.
Big G said consumers are being hit by inflation and higher interest rates and that they are prioritising their spending on things like travel, leisure, and entertainment rather than tech purchases.
Gartner Practice Vice President*Richard Gordon said that the*short-term outlook for semiconductor revenue has worsened. Rapid deterioration in the global economy and weakening consumer demand will negatively impact the semiconductor market in 2023.
Beancounters at*Gartner have consulted their tarot cards and predicted that semiconductor revenue growth is now going to decline by 3.6 per cent in 2023 due to the “rapid deterioration” of the global economy and weakening consumer demand.
Initially, the company expected that semiconductor revenue would grow from $618 billion in 2022 to $623 billion in 2023, but this latter figure has now been downgraded to $596 billion, just a billion more than the $595 billion in revenue that was seen in 2021.
Revenue from consumer spending has been in a tail spin due to a decline in disposable income and the industry has been propped up by enterprise spending.
Big G said consumers are being hit by inflation and higher interest rates and that they are prioritising their spending on things like travel, leisure, and entertainment rather than tech purchases.
Gartner Practice Vice President*Richard Gordon said that the*short-term outlook for semiconductor revenue has worsened. Rapid deterioration in the global economy and weakening consumer demand will negatively impact the semiconductor market in 2023.
