WSTS: Semiconductor revenue may drop by 4.1% next year, and memory will drop by up to 17%
The World Semiconductor Trade Statistics Organization (WSTS) predicts that global semiconductor revenue may drop to US$556.5 billion in 2023, a decrease of 4.1% from this year; memory revenue may decrease by 17%, which will be the product category with the largest decline.
WSTS released the latest semiconductor forecast report. It is expected that global semiconductor revenue this year is expected to climb to US$580.1 billion, an increase of 4.4% over last year, which is lower than the 13.9% increase estimated in August.
WSTS said that rising inflation and weak demand in end-market demand, especially consumer spending, were the main reasons for lowering this year's semiconductor revenue forecast. Memory revenue is expected to decline by 12.6%, which will be the worst-performing product. The revenue of discrete components, sensors and analog ICs is still expected to increase by more than 10%, with growth rates of 12.4%, 16.3% and 20.8% respectively.
In terms of regions, WSTS estimates that the US market revenue is expected to grow by 17%, which will be the largest growth region; the European and Japanese market revenues will also grow by 12.6% and 10% respectively; the Asia-Pacific market revenue may decrease by 2%, will be the worst performing region.
Looking forward to 2023, WSTS expects that global semiconductor revenue may fall to US$556.5 billion, a decrease of 4.1%, which is lower than the original forecast of an increase of 4.6%. Memory revenue may drop another 17%, and it will remain the worst-performing product. Discrete component revenue is expected to increase by 2.8%, optoelectronics and sensor revenue will increase by 3.7%, and analog IC revenue will increase by 1.6%.
WSTS expects that the Asia-Pacific market revenue will decrease by 7.5% in 2023, and will remain the worst performing region; the US market revenue is expected to increase by 0.8%; the European and Japanese market revenues will both increase by 0.4%.
