Foreign media: The demand for electronic products has weakened, and there has been a surplus of chips in the world

　　Sino-Singapore Jingwei, December 28. According to a report on the Wall Street Journal Chinese website on the 28th, there has been a surplus of chips in the world.

The oversupply means that a two-year global chip famine amid super-demand is suddenly a thing of the past as consumer demand for electronics has weakened as interest rates rise, stocks fall and recession fears mount.

　　The report pointed out that

. At present, the goods on the shelves of retailers are unsalable, and the manufacturers of many products that were in high demand in the early stage of the epidemic are now facing the problem of surplus.

　　The current state of affairs in the chip world is good news for consumers, who can get their hands on many products faster and sometimes cheaper than they did a year ago.

For chipmakers, the shift has triggered a wave of layoffs and capital spending cuts as companies try to repair profitability levels that have eroded in recent months.

　　Sanjay Mehrotra, chief executive of memory chip maker Micron Technology, reportedly said chip inventory levels were "well above our target levels."

The company reported earnings on Thursday that missed Wall Street expectations, gave a weak outlook and said it would cut about 10% of its workforce.

　　AMD Chief Executive Lisa Su said the company is trying to deal with the situation by reducing chip shipments below demand; PC manufacturing customers are making similar adjustments.

　　According to the report, chip industry executives said that the

, but there is still uncertainty about when the industry known for its boom and bust cycles will be ready for the next wave of prosperity.

Nvidia, the most valuable U.S. chip company by market value, said excess inventory could dent the benefits of a recently announced new generation of ultra-fast gaming graphics chips; corporate customers are trying to burn through existing inventories before restocking and buying these latest processors. device.

　　Chipmakers are reportedly being hit not just by shipments of personal computers, which are expected to see their biggest decline in more than 20 years, and sales of smartphones have also been sluggish.

　　Qualcomm, which supplies chips to Samsung Electronics Co. and Apple Inc., has cut sales forecasts several times this year.

The company said in November that it expected the mobile phone market to remain sluggish and chip inventories to rise.

　　However, despite the recent oversupply, chip industry executives are preparing for a long-term increase in demand that will require more factories to be built, the report said.

The industry predicts that

and global sales will exceed $1 trillion.

(Sino-Singapore Jingwei APP)