Q4 revenue 14.8 yy, 10 qq
2023 capex 3 bln vs 2.7 bln in 2022
39;Challenging environment39; to persist in Q1

TAIPEI, Jan 16 Reuters Taiwanese chipmaker United Microelectronics Corp UMC said on Monday it was implementing strict cost controls because of soft demand and a weak outlook, in a further sign of pain facing the tech industry.

UMC , whose clients include U.S. company Qualcomm Inc and Germany39;s Infineon, has benefited from a global semiconductor shortage that has kept chipmaker order books full in the past two years or so.

But demand has slumped in recent months as soaring inflation, rising interest rates and a gloomy world economic outlook have led consumers and businesses to tighten spending.

Given the soft global economic outlook for 2023, we expect the current challenging environment to persist through the first quarter as customers39; days of inventory are still higher than normal while order visibility remains low, CoPresident Jason Wang told an earnings call.

To manage this period of weakness, the company is implementing strict cost control measures and deferring certain capital expenditures where possible. I

The company39;s 2022 capital spending was 2.7 billion, less than the 3 billion previously planned, with 2023 spending set at 3 billion, said finance chief Chitung Liu, adding new capacity would come online in the third quarter in the southern Taiwanese city of Tainan.

The automotive industry, which was hit hard by global chip shortages, was…