Most of the chip market is in trouble, but ASML is fine

It took a little getting used to, ASML’s demure posture. After two years of orders pouring in and customers asking for expedited deliveries, this quarterly report was all about chip markets slowing down and orders being pushed out. Not so long ago, no chipmaker would even consider deferring delivery of ASML’s coveted lithography tools.

Two other industry bellwethers, TSMC and Samsung, didn’t have much better news on offer. The Taiwanese foundry is projecting its first annual revenue decline since 2009 and the Korean chaebol’s profits sank to an eight-year low as it reduced memory output. Earlier this month, the Semiconductor Industry Association (SIA) reported that February’s global semiconductor sales were down 20.7 percent year-on-year, following an 18.5 percent YoY decline in January.