The Taiwan Semiconductor Manufacturing Co (TSMC) makes semiconductors for a number of companies including Qualcomm, Apple, Mediatek and others but it today said revenues for its fourth quarter wouldn’t be as buoyant as it first thought.
TSMC said its revenues would show the first fall in the quarter for four years.
In a statement it said that while its third financial quarter would do better than it expected because of a better exchange rate between the US dollar and the Taiwanese dollar, it expected a decline in its fourth quarter.
Although TSMC did not give a reason for the decline, there’s evidence that slack demand for smartphones and other electronics devices will be responsible for the decline.
The company said in the summer that inventories of chips in PCs, tablets and smartphones remained high.
Despite the fluctuations in the chip maker’s fortunes, TSMC still expects that it will show sales growth of close to 10 percent.