Daily Management Review

Gartner: Chipmaker revenues to lose over 11% in 2023


According to a report by the research firm Gartner, global semiconductor makers' revenue will drop by 11.2% in 2023 and reach roughly $532 billion.

The amount grew by merely 0.2% to $599.6 billion in 2022.

"Economic headwinds persist, with weak demand for electronics in end markets spreading from consumers to businesses, creating an uncertain investment environment," notes Richard Gordon, vice president of Gartner. - In addition, this year's decline in the semiconductor business will be accelerated by an oversupply of chips that will lead to bigger inventories and lower prices."

According to estimates, chipmakers' sales would increase by 18.5% to around $631 billion in 2024.

Gartner predicts that the market volume would rise by 70% in 2024 after falling by 16.2% this year to $92.3 billion.

the DRAM market expects an oversupply of microprocessors for the most of this year. As a result, sales will decrease by 39.4% to $47.6 billion, and will grow by 86.8% the following year as a result of a shortage and a rise in prices.

At the end of this year, NAND sales revenue is expected to drop by 32.9% to $38.9 billion, according to Gartner. However, a severe shortage will result in a 60.7% increase in this market segment in 2024.

source: silicon.co.uk