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To alleviate the shortage of car chips, smartphones have the following possibilities: industry executives

According to industry executives and economists, the global semiconductor shortage will continue until 2022, which could then hurt smartphone production, foreseeing a shortage of supplies for a variety of consumer electronics and industrial equipment.

The automotive sector is suffering the most this year, but supply to the sector could improve relatively quickly. China Iris Pang, Chief Economist at ING Greater China, told the Reuters Global Market Forum this week about production demand that Taiwan couldn’t meet.

She said Taiwanese semiconductor companies boosted production in China as power outages and ongoing COVID-19 social distance measures disrupted Taiwan’s factory production and port operations.

“China Shortage of chips From a GDP perspective-Taiwanese semiconductor companies have well planned and built large factories in mainland China, “he said, predicting that it will be the next segment in which smartphone makers face turmoil.

“Taiwan’s semiconductor companies are coordinating the production of chips for automobiles, so chip shortages should be resolved for automobiles in a few weeks, but the problem of chip shortages in other electronic devices will not be solved.” Pan said it could delay the shipment of some new models of smartphones.

Companies in industries around the world warn of the ongoing struggle to procure chips.

ASML, one of the world’s largest suppliers to semiconductor manufacturers, raised its sales outlook with strong orders this week as chip giants such as TSMC and Intel competed to increase production.

Adam Khan, founder of AKHAN Semiconductor, said the timeline was “ambitious,” but said a broader supply shortage could continue into the second quarter of 2022.

Andrew Feldman, CEO of chip startup Cerebras Systems, reiterated that vendor estimates lead times for new chips and components to be 32 weeks.

ING’s Pang said even cryptocurrency miners are looking for ways to recycle “used” chips. This means that the shortage has not been resolved.

One-time purchases to meet telecommuting needs and increased demand for chips backed by continued demand for smartphones and other electronics are expected to drive investment and growth in this sector. Will be done.

The chip industry has the potential to grow between 21% and 25% in 2021, “electronics has been the best performer since 2010,” said Dan Hutcheson, CEO of chip-focused VLSI Research. Stated.

So far this year, the Philadelphia SE Semiconductor Index has surpassed the technology-intensive Nasdaq Composite Index, surpassing 13% to 16%.

(Report by Aaron Saldanha and Lisa Mattackal in Bangalore, edited by Divya Chowdhury and Ana Nicolaci da Costa)

To alleviate the shortage of car chips, smartphones have the following possibilities: industry executives

Source link To alleviate the shortage of car chips, smartphones have the following possibilities: industry executives

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