The chip shortage having major issue for global electronic industries in recent days.
Why Is There a Chip Shortage?
Global Data’s Londan Office Research Analyst Joseph Bori says, the global shortage issue will be improving gradually. He caused the rest of covid-19 pandemic to factories outside China and slower consumer demand issued by electronic declaration.
He said the possibility for computers and smartphone have looked well resources available. Because we had past gadgets led to PC and smartphone manufactures to buy out. this helps us to increase the production capacity for semiconductor industries. which might have little trouble for Automotive industries.
CEO and principal analyst and Smart Tech Researcher Mark Vena agreed and said, “We have found good resources for PC sectors”
He added that major tech industries like Apple, Dell and HP had have finding the supply-chain constraints. they realize “what to manage inventory” as said by Vena.
Can the Auto Industry Overcome the Chip Shortage?
Automotive and chip industries customers continued to face this challenge. one more important thing said by Bori, short-advanced chip not profitable for chip vendors as semiconductors are buying by smartphones and computers manufactures.
He added more, “We hope that over time this will normalize”. but it will differently challenge for different sectors.
When Will the Chip Shortage End?
US produces around $52 billion dollars with subsidies from CHIPS and science act this summer.
Technology and National security associated fellow Alexandra Seymour says, this is long time investment plan for chips production of USA. He said more, we wanted to increase the chips production at home.
TSMC (Taiwan Semiconductor Manufacturing Company), Global Foundries and Intel are main companies which are provide chips facility services worldwide. The chips facility service led to expand a project in Ohio.
Bori said on this project will takes one or two years to start the production and warned that US may have struggle to find the skill domestically and might take longer to see achievement of them.
The commerce department announces that the China have taken restriction on the export of advanced chips semiconductors. this have created problem for USA pulls back business in China Firms.
Seymour noted this problem and said it could affect beyond the intended target of China’s development semiconductors with military applications. Apple had secret plans to buy cheapest China’s memory for iPhones manufacturing. Bori have advised the others non chinese firms will be essential to take own opinion.
Remaining this chips shortage issue will become more trouble for companies in Taiwan, Korea and Netherland and Japan. Seymour has said that predicting long term optimistic, we are going to see more resilience with supply chain.
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