Published in AI

Notebook component makers expect flat year

by on12 January 2016

And not just because of ultra-thin notebooks

It is looking like it will be a grim year for notebooks as component makers have given up any hopes of improvement this year.

According to Digitimes the Taiwan-based makers of notebook components are particularly glum and do not expect any significant growth in revenues in 2016.

Demand for desktops, notebooks and smartphones is continuing to drop while China competition has been increasing.

The worldwide connector industry's production value grew about 5% on year in 2015. Most of the manufacturers are scrambling to develop niche applications or land orders for high-price products to maintain their growth.

However orders are weakening, particularly for consumer electronic products and getting car electronics, aerospace, military or industrial industries is problematic.
The goal for this year will apparently be finding orders with good margins.

Most Taiwan-based connector makers have been focusing mainly on the PC industry and don’t have much experience in niche applications. This means that its production value has seen much weaker growth than that of worldwide during the past few years.

They are apparently concerned that some will go under because they cannot see off the Chinese competition.

Last modified on 12 January 2016
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