Green shoots for end user electronics?
1 min read
The recovery is underway for the electronic equipment industry according to market analyst Garter.
However, the analyst says that uncertainty continues to rest on the macroeconomic recovery and the effectiveness of government stimulus packages – especially when that stimulus runs out. As a result, Gartner forecasts that sustainable recovery pattern will not happen until 2010, while associated semiconductor sales are not expected to regain 2007 peak levels until 2012.
Klaus Rinnen, managing vice president at Gartner's semiconductor manufacturing group, said: "Almost all sectors of the electronic equipment market have now hit bottom and await signs of 'first growth' in comparison with the same quarter last year. The first signs of growth will be led by seasonal buying patterns in the PC market during the third quarter of 2009, although other major sectors will not begin to show first growth, year on year, until 2010."
Jim Tully, vice president at Gartner, added: "Electronics vendors and their suppliers must give careful attention to the expected recovery pattern of each sector and a separate response must be planned for each. In particular, new product introductions should be synchronised with the expected sequence of the recovery."
The full analysis of Gartner's report Signs of Improvement for End-User Electronics Recovery can be viewed here.