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Appeared on: Friday, November 28, 2008
Chip Makers Revise Their Q4 Outlook

The latest signs of a downturn

STMicroelectronics today anounced
And the prospect of TSMC and UMC preparing for further cuts is another strong signal to the sector, as more and more semiconductor companies farm out manufacturing to such foundries to save on the enormous costs of building their own fabs.

The technology sector went through a severe downturn early this decade, but inflated stock market valuations took much of the blame in the dot-com crash and this time around it must deal with a general economic recession.

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