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Here’s Why Coronavirus May Have a Serious impact on Global Smartphone Sales in Q1

Overall, we think Q1 and Q2 will show negative growth both globally and in China before rebounding

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Coronavirus
As China gradually recovers from the initial peak of infections, the factory production will gradually return towards normal. However, the reduced capacity is likely to continue into the second quarter. Wikimedia Commons

Although factories are beginning to ramp up production slowly, the first quarter smartphone sales are likely to hit by over 20 per cent in China in the first quarter, resulting in global sales going down at least 7 per cent compared to same period last year, a new report said on Thursday.

Foxconn said it is running at about half its normal low-season capacity — this equates to about 25 per cent of full capacity.

“While factories are anxious to ramp-up production, they’re also being careful that labour-intensive work does not rekindle viral outbreaks,” said Peter Richardson, Research Director, Counterpoint Research.

“Our initial expectation was that the virus would be contained within two months and take three further months for things to get back to normal. We now expect Q1 China sales to be down by around 25 per cent compared to the original forecast. This is 18 per cent lower than Q1 last year,” he explained in a statement.

This can worsen if the virus is not contained. “Global sales will also go down 7 per cent compared to the same period last year. Overall, we think Q1 and Q2 will show negative growth both globally and in China before rebounding,” forecast Richardson.

As China gradually recovers from the initial peak of infections, the factory production will gradually return towards normal. However, the reduced capacity is likely to continue into the second quarter.

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Although factories are beginning to ramp up production slowly, the first quarter smartphone sales are likely to hit by over 20 per cent in China in the first quarter, resulting in global sales going down at least 7 per cent compared to same period last year, a new report said on Thursday. Pixabay

“The impact to supply and demand was most acute in China. Supply restrictions have started to show up in other global markets,” said Richardson. “We are now expecting to see some impact to demand in global markets as consumers moderate their economic activity in the face of personal and economic uncertainty,” he added.

According to some offline retailers, they have experienced a 50 per cent drop in sales during the late January period. “There will be impact to new devices to be launched in the first half which have facilities in China, as factories will not function properly. Components sourced from China will also be impacted as all factories will resume operation slowly and cautiously,” said Counterpoint.

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This will range from displays from Chinese electronic components producers like BOE, CSOT and semiconductors from YMTC and further on. “So the negative impact from the supply chain side will last until end of Q2. The impact of nCoV-19 could be much more severe than many currently expect,” Richardson noted. (IANS)

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Know About Where Do Employees Actually Gaze At During Video Calls

For the study, published in the journal Attention, Perception & Psychophysics, the team compared fixation behaviour in 173 participants under two conditions

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Video Chat
The phenomenon known as "gaze cueing," a powerful signal for orienting attention, is a mechanism that likely plays a role in the developmentally and socially important wonder of "shared" or "joint" attention where a number of people attend to the same object or location. Pixabay

 As more and more people use video conferencing tools to stay connected in social distancing times, neuroscientists from Florida Atlantic University have found that a person’s gaze is altered during tele-communication if they think that the person on the other end of the conversation can see them.

The phenomenon known as “gaze cueing,” a powerful signal for orienting attention, is a mechanism that likely plays a role in the developmentally and socially important wonder of “shared” or “joint” attention where a number of people attend to the same object or location.

“Because gaze direction conveys so much socially relevant information, one’s own gaze behaviour is likely to be affected by whether one’s eyes are visible to a speaker,” said Elan Barenholtz, associate professor of psychology. For example, people may intend to signal that they are paying more attention to a speaker by fixating their face or eyes during a conversation.

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“Conversely, extended eye contact also can be perceived as aggressive and therefore noticing one’s eyes could lead to reduced direct fixation of another’s face or eyes. Indeed, people engage in avoidant eye movements by periodically breaking and reforming eye contact during conversations,” explained Barenholtz.

People are very sensitive to the gaze direction of others and even two-day-old infants prefer faces where the eyes are looking directly back at them. Social distancing across the globe due to coronavirus (COVID-19) has created the need to conduct business “virtually” using Skype, web conferencing, FaceTime and any other means available.

For the study, published in the journal Attention, Perception & Psychophysics, the team compared fixation behaviour in 173 participants under two conditions: one in which the participants believed they were engaging in a real-time interaction and one in which they knew they were watching a pre-recorded

The researchers wanted to know if face fixation would increase in the real-time condition based on the social expectation of facing one’s speaker in order to get attention or if it would lead to greater face avoidance, based on social norms as well as the cognitive demands of encoding the conversation.

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As more and more people use video conferencing tools to stay connected in social distancing times, neuroscientists from Florida Atlantic University have found that a person’s gaze is altered during tele-communication if they think that the person on the other end of the conversation can see them. Pixabay

Results showed that participants fixated on the whole face in the real-time condition and significantly less in the pre-recorded condition. In the pre-recorded condition, time spent fixating on the mouth was significantly greater compared to the real-time condition. There were no significant differences in time spent fixating on the eyes between the real-time and the pre-recorded conditions. To simulate a live interaction, the researchers convinced participants that they were engaging in a real-time, two-way video interaction (it was actually pre-recorded).

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When the face was fixated, attention was directed toward the mouth for the greater percentage of time in the pre-recorded condition versus the real-time condition. “Given that encoding and memory have been found to be optimized by fixating the mouth, which was reduced overall in the real-time condition, this suggests that people do not fully optimize for speech encoding in a live interaction,” the authors wrote. (IANS)

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