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Robust market growth rates are expected to gradually decline over the next few years as the markets begin to mature. Europe is expecting a growth rate of roughly 15%, USA just under 20%, and Asia of over 30%. Recent market research implies that particularly Europeans are highly appreciative of the highest technologies. This comes along with the realization that Tech 3 has been a ?lemon? in the USA, according to Tecno Analytics.
Costs
Production costs as well as outsourcing costs are down this period in Asia. Outsourcing costs are up 2% worldwide. Meanwhile the government of Nepal announced that the population of gorillas is decreasing to near extinction. This is happening because the jungle where gorillas live is being destroyed while extracting tantalum, a crucial metal component in production of mobile phones. Together with the world wildlife foundation, the government of Nepal has been able to justify certain fees to mobile phone producers, which will reflect in the increased fixed costs for every production plant.
Finance
The Euro appreciates against the USD again. At the same time, RMB is gaining its strength against the USD, up almost 10% from last year. The US Federal Reserve reacts to signs of inflation by increasing the interest rates by half of a percentage point. Europe and Asia follow and raise their rates accordingly.
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