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Semiconductor Capex Cutback Inevitable as Downturn Looms

Semiconductor capital expenditures will be sharply reduced next year in response to an expected sales downturn.

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By Bolaji Ojo

Chipmakers pledging to spend billions of dollars to construct new fabs and related capital equipment are likely to put many of those plans on hold next year, severely cutting back on spending and even mothballing fab shells as the industry braces for a steep downturn in 2023, according to researcher Future Horizons and Ojo-Yoshida Report analysis of spending forecasts.

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