January 26, 2024 /SemiMedia/ -- According to reports, STMicroelectronics recently predicted that its revenue in the first quarter of 2024 will drop by more than 15%. The company's sales in the fourth quarter of 2023 were lower than expected due to slower growth in the automotive industry and further reductions in orders from the industrial sector.

"In the fourth quarter of 2023, our customer order volume declined compared to the third quarter. We continue to see stable demand in the automotive field, no significant growth in personal electronics, and further deterioration in the industrial field," Jean-Marc Chery, CEO of STMicroelectronics said.

The report pointed out that STMicroelectronics’ customers include Tesla and Apple, and its net income is expected to be US$3.6 billion in the first quarter of 2024, compared with US$4.25 billion in the same period in 2023. Industry insiders revealed that orders from the automotive industry have been helping STMicroelectronics offset the impact of the trade dispute between China and the United States and sluggish demand for personal electronics.