Tech hardware spending is impacted as economic uncertainty grips the world
As consumers and enterprises purchased new devices to enable hybrid living and work, PC market revenues surged. However, with the world gripped by economic challenges, buyers are now opting away from new hardware purchases and instead, are looking to lengthen PC refresh cycles. A 30 percent decline in PC shipments was recorded in the first quarter of 2023 – one of the sharpest falls on record and very much attributed to the slowdown in the global economy.The computer peripherals market is not immune to reduced spending
Computer peripherals help to enhance the computer's functionality, and because of their usefulness in daily life, make up a sizeable portion of IT device spending globally – a market that has also faced difficulties as purchases have been stalled or avoided during the troubling economic conditions. When taking a closer look at the market – featuring devices like PC monitors, printers and copiers, and storage units – it can be observed that such computer peripherals experienced sharp revenue declines in the last year.Data center spending remains positive despite a period of recession
Data centers house large volumes of critical data and therefore are vital to the daily functions of companies and consumers alike. In contrast to other parts of the tech hardware industry, data centers are forecast to receive increased investment in 2023. Within these environments, security and efficiency have been enhanced by the implementation of artificial intelligence (AI), processes that require specialized AI chips. Advanced applications such as 5G and generative AI will benefit from advancements in AI chip technology.Safeguarding the steady supply of semiconductors is a top priority
Across the entire semiconductor value chain, businesses have had to navigate changing demands, supply chain imbalances, and geopolitical factors. As a result, governments are now developing action plans and policies to protect the supply of chips. Following growth in 2022, the semiconductor industry must overcome new challenges as it faces a decline in 2023, fueled by the deteriorating global economy and weakening demand from consumer-driven markets.
