A deterioration of trade relations with China could negatively affect the ICT component supply side and confront US end-consumers with higher sales prices.
Despite increasing challenges a recovery of the exchange rate and a rather stable economic outlook for 2018 should help the ICT industry in the short-term.
Despite continued sales growth, most German ICT businesses operate on very tight margins due to fierce competition and price erosion in most subsectors.
Payment experience over the past two years has been good in the ICT sector and the level of insolvencies is low, with no major change expected in 2018.
Due to limited organic growth opportunities and the on-going economic uncertainty, market players strive to expand through acquisitions and specialisation.