Chip Sales Growth Forecast Slashed

The Semiconductor Industry Assn. cut its forecast for growth in global sales of semiconductors in 2003 by nearly half, citing anemic spending on information technology, the SARS epidemic and the war in Iraq.

Sales of chips will rise 10.1% to $154.9 billion this year, the association said in its midyear forecast. That was down sharply from its November 2002 forecast of an increase of 19.8%.