The sun is shining in some places, but are we out of the woods?

    The Chip Insider®
    Semiconductor Equipment Weather Report: April 27, 2020
    The sun is shining in some places, but are we out of the woods?
    • Order activity for semiconductor equipment edged higher, jumping past 60 degrees
    • Equipment suppliers continue to see solid demand in Q2; however, order visibility in the second half of the year is very limited due to uncertainty from the COVID-19 fallout
    • Q1 sales for ICs are coming in much better than feared
      • They are on track to decline only 3% sequentially in Q1, which is in line with our pre-COVID-19 forecast.
    • The outlook in the second half remains challenging as the industry will grapple with growing inventories and the fallout from COVID-19.
    • VLSI's Chip Price Performance Index (CPPI) extended its decline
      • DRAM plunged
      • NAND declined
      • MPUs declined
    • IC Inventories are rising again