There were other signs of better than expected performance in February across markets as diverse as PC, mobile phones, displays, analog IC design, consumer IC design, DRAMs, distribution and foundry. However, raised sequential performance came off January sales that were extremely poor when compared with long-term trends and so Q1 is still likely to be weak.

Because February is a short month, often including Chinese New Year holidays, it is typically 10 percent lower in sales sequentially. However, in 2009 Chinese New Year fell on Jan. 26 tending to suppress January sales and improve February sales compared with long-term averages. March sales are typically up 20 percent on February sales, according to Baird.

Baird compiled January and February sales for 192 Taiwan-based technology companies, representing more than $15.3 billion in monthly revenues. The total revenues in Jan-Feb 2009 versus Oct-Nov 2008 were down 34 percent, significantly below the six-year average seasonality of down 16 percent.

However, February versus January trends were well above seasonal for most categories with total revenues up nearly 10 percent versus the normal seasonality of down 9 percent. And total Taiwan composite year-over-year comparisons improved sequentially for the first time in seven months.

In January 2009 the Taiwan-based technology composite was 38 percent down compared with January 2008. In February the Taiwan-based technology composite was 20 percent down compared with February 2008.

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