Taiwan Semiconductor Manufacturing Corporation (TSMC) saw its revenue decline in November, with sales down 4% year-on-year in the first 11 months1% to NT$2 trillion (US$63.8 billion).
Its consolidated revenue fell 75%, to NT$206 billion. The decline has raised questions about the recovery of the tech sector.
TSMC had recovered in the fourth quarter of October, saying there were clear signs of stabilizing demand. Revenue for the month increased by 157%, reaching NT$243.2 billion. Its third-quarter revenue fell 108% to NT$546.7 billion.
Earlier this week, Taiwan-based foundry Foxconn's November revenue rose 18% to NT$650 billion, up after nine consecutive months of decline. Apple's main business highlighted growth in smart consumer electronics, components and other products, with a slight decline in computing products, cloud and networking devices.
Foxconn said it performed slightly higher than expected in October and November, so it raised its original fourth-quarter guidance to "significant growth". Revenue from January to November fell 5% to 5NT$7 trillion.
While TSMC's fourth-quarter recovery had been expected, the decline in revenue in November was a surprise. At the same time, Foxconn's strong growth in smart consumer electronics may be a microcosm of the unpredictability of the electronics industry. While there are challenges, striking a balance between technological innovation and market adaptation may be the key to future development.
