In a statement, IDC predicted on Tuesday that the outbreak of the disease would bring about a number of changes in the country's macro environment.
“The COVID-19 outbreak will have a greater impact on the overall economy than the SARS outbreak in 2003," said Kitty Fok, managing director of IDC China. "We expect the impact to be significant in the first quarter, but gradually lessen in subsequent quarters – with a limited impact on the full-year economic growth.
"The impact on China’s ICT market will also be greater than in 2003 in view of the much greater role of ICT today than in 2003. The digital economy enabled by ICT accounted for 37.8% of the Chinese economy in 2019. The macroeconomic disruption brought by the outbreak is expected to significantly affect China’s ICT market and drag it down by approximately 10% in the first quarter of 2020.”
It said there would be at least a 30% fall for PC and smartphone sales, and greater than 15% fall for server, network and storage sales.
"AI and big data will be affected as well but will remain to grow, while emerging technologies such as IoT and security will experience minimal declines," IDC added.