Another segment set for steep decline this year is the logic application-specific standard product (ASSP) where demand is driven by the mobile handset business, a market that is struggling to generate due to nearly universal saturation.
A silicon silver lining
According to IHS Markit, the challenging conditions in the semiconductor market will linger through the second quarter. The sharp downturn in the first half of the year have set the chip market on a course for its worst revenue performance since 2009, however, IHS Markit Technology forecasts a recovery in semiconductor sales in the third quarter. This revival will be led by NAND flash memory parts used in solid-state drives and high-end smartphones. MPUs employed in notebook PCs and datacenter servers also will help drive a resumption of overall semiconductor sales growth.
IHS Markit - www.ihsmarkit.com