report that sales would increase in 2001.

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Semiconductor sales now down

Thursday, 20 September, 2001

Worldwide semiconductor sales may decrease 34% in 2001 after terrorist attacks stalled shipments last week and may hurt consumer purchases, market researcher IC Insights, said. This follows last weeks report that sales would increase in 2001.

The researcher had previously forecast a 27% decline in sales, which, would have been the worst year on record, surpassing 1985's 20% drop. Consumers may buy fewer PCs and electronic devices as they worry about the economy after terrorists destroyed the World Trade Centre and crashed into the Pentagon, IC Insights said. Air travel in the US was halted for much of the week, which may also crimp sales since most chipmakers rely on air cargo for the majority of their shipments.

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