This IDC Manufacturing Insights provides an analysis of trends in the TOVC segments based on our performance index. This report also includes survey-based spending data that can be used to benchmark against. Technology-oriented value chains (TOVCs) have a physical flow of goods that are dictated by the ongoing iterating cycles of key underlying technology, such as processors, and includes segments such as semiconductors, electronic manufacturing services (EMS), high-tech equipment, and consumer electronics. These value chains can have high levels of variability in supply, manufacturing, and demand. The current economic situation will have a significant impact on companies and how they allocate IT dollars.

"TOVC segments represent industry segments that are dealing with a rapid cadence of product iterations, geographic expansion, and elevated competition. Smart IT investment in these challenging times will help position companies for the inevitable recovery." — Ben Friedman, research manager at IDC Manufacturing Insights