Semiconductor Industry to Get Back on Track in 2023
According to the reports, consumer demand for electronics has fallen by 30 percent with the growing fear of global recession. It says the semiconductor market would have a modest recovery by the second half of 2023 if the global economy does not fall more than the current expectations.
According to survey reports, the Semiconductor Industry Confidence Index Score is 56 for 2023. The last two years were tumultuous year for the semiconductor industry. But the analysts have provided an overall positive report for 2023 regarding the availability of semiconductors.
Studies proved that the automotive industry might see disruption in 2023 also, but not until 2024. Geopolitical factors are also supposed to risk the semiconductor industry in the coming years. Both the supply side and demand side will suffer from this.If we talk about the end of the semiconductor shortage in sight, then 65 percent of survey reports said that the semiconductor shortage would be less in 2023. Whereas 20 percent also think that the deficit will continue in 2024 also. But data says global GDP shows continued growth deceleration in 2023 from 0.3 to 1.0 points.
Another survey says a 6 percent decline in 2023. It can also be noted that the quarterly trends may drive the market negatively for the year 2023. But the semiconductor market is supposed to stabilize towards the typical trends. Along with smartphones and pcs, the traditional market drivers will return to growth. Also, emerging automotive applications and the internet of things (IoT) will become necessary.
