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Even Bigger Nightmare on Tech Street

December 23, 2008
by Om Malik
Founder and Senior Writer, GigaOm

Om Malik

Updated: The technology sector, already rocked by the credit crunch and slowing global economies, is facing a bleak 2009, the impact of which is going to be felt across the entire ecosystem. From PC makers to chipmakers to chip equipment makers, almost everyone is bracing for a stomach-churning ride.

“The problem is three times worse than everybody thinks,” said Terry Gou, chairman of Hon Hai Precision Industry Co., a large Taiwan-based contract manufacturer. According to The Wall Street Journal, he is looking to cut jobs in his factories, most of them in mainland China.

Now here is a man who should know the actual extent of the troubles. His company’s customers include Apple (AAPL), Nintendo and Hewlett-Packard (HPQ).

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