After witnessing booming demand amid global supply chain issues during the pandemic, the semiconductor industry is facing a slowdown. The world chip sales growth has fallen for six straight months. Despite strong government support, many chipmakers have slashed billions of dollars off their planned capital expenditure due to shrinking consumer demand.
The inflationary pressures and fears of a recession have slumped the demand for semiconductors from electronics, automotive, and other sectors for the second consecutive month in August.
