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IC Insights Predicts That The Global Chip Market Will Recover In Q2 Next Year

Time:2022-11-14   Views:

The analysis agency IC Insights predicted in the report that the global chip market is expected to recover in the second quarter of next year.


The agency said the chip market will contract by 9% in the third quarter of this year, and will contract further by 8% in the fourth quarter, before contracting again by 3% in the first quarter of 2023.


After bottoming out in the first quarter, the chip market is expected to start recovering in the next quarter of next year, IC Insights said.


The analyst said the global chip market has only contracted for three consecutive quarters six times in its history since the 1970s. These periods are 1981, 1985, 1996, 1997 to 1998, and 2001.


On all these occasions, the market rebounded after three straight quarters of contraction.


The sixth period is between 2018 and 2019. In the fourth quarter of 2018, the chip market contracted by 9%, followed by a sharp contraction of 17% in the following quarter. After falling another 1% in the second quarter of 2019, the market recovered in the third quarter.


However, there are still uncertainties, such as some international trade wars.


In addition, although the chip market is expected to grow again in the second quarter of next year, on an annual basis, the global chip market in 2023 is expected to shrink by 3% from a year ago.

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