How does the coronavirus change the chip market forecast? At the start of the year, after a 15% fall in 2019, IC Insights’ forecast was for 8%  growth in 2020.

Figure 1 shows how the virus knocked that  forecast back to minus 4%:

Figure 1

The current forecastof $345.8 billion is $39.0 billion less than the originaL forecast, which called for an 8% increase this year.

As shown in Figure 1, IC Insights bow expects a 4% drop.

Moreover, global GDP is now expected to post a decline this year that is at least as deep as the 2.1% drop that was registered in 2009.

How rare is a decline in worldwide GDP?  Before 2009, the previous year that global GDP went negative was 1946, 63 years ago!