How can the chip shortage be resolved? – Lexington-Fayette, Kentucky

Lexington-Fayette, Kentucky 2022-05-23 11:51:45 –

Denver, Colorado-When the pandemic began, computer chips were one of the first to be disrupted by supply chain disruptions. The shortage continues, more than two years later, slowing or stopping the production of everything from medical devices to video games.

But that’s not all. According to a Goldman Sachs study, it is estimated that at least 169 industries are affected.

“Literally, it’s affecting everything. Everything electronic has evolved into a place where you can put a chip in it and do anything, and without it, production would stop.” Todd Sigati, who runs Mike’s camera in Denver, Colorado, said.

According to Shigati, the photography industry is stuck waiting for a tip.

“Sony has actually discontinued some models because there aren’t enough chips to support current and new products,” Sigaty said.

Experts are now warning shoppers to be aware of counterfeit chips on the market. Toys, video games and cameras can be at high risk of counterfeit chips.

To avoid buying counterfeit chips, there are some steps you can take when buying a product.

  1. Make sure you are buying from a trusted source.
  2. Request or check if the item has a tip certification number.
  3. Make sure you have a return policy in case the item doesn’t work.

If you’re wondering how this shortage has worsened, it’s all about supply and demand.

The United States accounts for almost half of the world’s chip sales, while Taiwan and South Korea account for 83% of the world’s chip production.

However, the solution may be on the way. House and Senate lawmakers are currently negotiating their own version of a bill called the Bipartisan Innovation Act to boost the US chip industry. Both chambers of commerce are backed by President Joe Biden.

The bill will spend more than $ 52 billion on chip production and research in the United States to prevent future shortages and move the United States at a pace comparable to China’s production. They will also bring high-tech work to places they never had before and set up regional technology hubs to boost US manufacturing capabilities.

The biggest question that everyone comes to mind is when this will end. Supply chain experts expect production to begin to stabilize early next year, but it can take up to two years before today’s backordered products are readily available. It can take up to 10 years for production in the United States to begin and go live.

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