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In terms of the shipments of smartphone application processors (AP) in China, downstream vendors started early inventory preparation in the fourth quarter of 2016 resulting in higher supply chain inventory levels. AP orders dropped significantly after the Chinese New Year, with some handset brand makers even asking to defer AP shipments to a large extent.
The coronavirus outbreak has disrupted production and weakened consumer confidence, with all ICT sectors bracing for major declines in shipments. Digitimes Research has conducted analyses on three mobile device sectors, namely notebooks, smartphones and tablets in the wake of the outbreak.