Investors expect more Japanese chipmakers to reduce their goals

Chipmakers, notably Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), cut spending plans for new equipment and plants. In addition, the Semiconductor Industry Association expects chip sales to grow just 3 percent in 2002.

Reflecting the slowdown in chip sales and PC demand, Advantest Corp, the world's biggest maker of equipment to test memory chips, widened its first-half loss forecast by almost two-thirds last week to ?4.8 billion.

Reinforcing IDC's gloomier outlook for PC sales, TSMC said some customers asked to delay delivery on their orders.