Highlights of the day: TSMC, UMC maintain normal production in China despite outbreak, but IC design houses worried about business

Many Taiwan-based IT firms are feeling the heat from the coronavirus outbreak that is delaying their production from returning normal following Lunar New Year. But TSMC and UMC have revealed that their fabs in China have been running as usual. Despite the foundry houses' reassuring revelations, many Taiwanese IC designers have turned cautious about their first-quarter 2020 performances, with some already lowering their sales guidance. For the displays industry, the virus-imposed lockdown of Wuhan may have serious consequences, as the Chinese city is home to several major LCD and OLED panel fabs of China-based makers.

TSMC, UMC say production in China remains normal: Taiwan Semiconductor Manufacturing Company (TSMC) and United Microelectronics (UMC) have both said that production at their fabs in China stays on track and has not been affected by the coronavirus outbreak.

Taiwan IC design houses turn cautious amid coronavirus outbreak: Taiwan-based IC design houses have turned cautious about customer orders particularly orders for the China market due to the coronavirus outbreak, with some already revising downward their sales guidance for the first quarter by 5-10%, according to industry sources.

Coronavirus outbreak likely to complicate global panel supply: The lockdown of Wuhan due to the coronavirus outbreak could impact global panel shipments as the Chinese city is one of the major production bases for a number of China-based panel makers.