Sales of chips will be reduced by 4% this year

The coronavirus pandemic has forced IC Insights analysts to revise the forecast

The beginning of 2020 gave hope for a small growth of the world chip market. In 2019, this market fell by 15%. IC Insights analysts expected the growth to be 8%. However, the COVID-19 pandemic forced them to reconsider their positions. Already in March, the forecast was lowered to 3%. But now it is clear that the suspension of production, violation of supply chains and other factors will lead to a reduction in the market. Now experts on reports and forecasts believe that the reduction will be 4%. 

If this forecast comes true, this year's chip market volume will be $345.8 billion in monetary terms. This is $39.0 billion less than the original forecast, which implied an 8% growth.

The magnitude of the impact of the pandemic is reflected in another forecast. World gross domestic product (GDP) is expected to decline by at least 2.1% this year, as it did in 2009. It is worth adding that the previous decline in world GDP was recorded in 1946.