The International Data Corp. (IDC) "expects the market to now reach 76.1 billion dollars in 2003, as compared with the previous forecast of 77.1 billion dollars, an impact of one billion dollars," a statement said.

The effects of the Severe Acute Respiratory Syndrome (SARS) epidemic will be particularly hard on consumer spending on personal computers (PCs) especially in China, the worst-hit country, the IDC said.

Much of the impact is expected to be felt in the second quarter of 2003. The SARS epidemic broke out in the region in March, after having largely been restricted to southern China since November.

"The SARS outbreak has clearly depressed market demand but it has also changed some working and consumer habits," IDC Vice President Kitty Fok said. "In some cases, this will have enduring consequences once the outbreak has abated and become more controlled."

The IDC urged vendors to "prepare for the market pick-up" once the SARS scare eases.

"It is quite likely that the recovery will be rapid and preparation for marketing and promotional plans should be underway," it said.

SPACE.WIRE