First drop after 4 years
In this context, iPhone assembler Foxconn reported last week that it experienced a 21 percent year-on-year revenue drop in March. And now today Apple chip maker TSMC announced that its revenue has dropped 15 percent over the same period . TSMC stated that its March revenues were $4.78 billion, while first-quarter revenues increased by 3.6 percent to $ 16.73 billion . The 15 percent decrease in March means the first drop in four years for the company.
Like Foxconn, TSMC expects things to get worse before they get better . The company says revenue decline is expected to continue into the current quarter before picking up in the second half of the year. However, it is underlined that the negative growth in this quarter will be smaller. Interest rate hikes, high inflation and banking crisis are blamed for the decrease in demand in TSMC. All of this contributes to consumers feeling anxious about their future financial stability and less willing to spend money on on-demand products like new iPhones
