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Why is there a global chip shortage?
What is the chip shortage? The chip shortage is a result of the COVID-19 pandemic, which increased demand for the personal electronics such as cell phones and laptops that the chips are used in to the point where production could not keep pace with demand. More: GM build-shy strategy has tens of thousands of vehicles parked awaiting chip parts
Is the chip shortage affecting computers?
The computer chips in highest demand are not particularly sophisticated or expensive. But they’re indispensable components used in everything from kitchen appliances to washing machines and electronic gadgets. The shortage is going from bad to worse, spreading from cars to consumer electronics.
Why is there a semiconductor chip shortage?
The auto industry in particular is consuming more chips in its shift to electric and self-driving vehicles. Why is there a semiconductor shortage? A confluence of factors has contributed to the global chip shortage, but the main factor is soaring demand. More chips are being used in 5G devices, and many industries are becoming reliant on them.
Why is there an auto chip shortage?
The onset of COVID. For starters,silicon wafer and microchip production was hit early on by COVID just like any other industry.
When will the chip shortage end?
The chip shortage isn’t likely to resolve itself until well into 2022, and eventually, the group of people willing to pay a higher price may run dry. If that happens, automakers may find themselves facing a whole new set of challenges. Read more : The car industry’s chip shortage is far from over
When will automakers get microchips?
The short-term solution could get microchips for automakers into production within six to nine months, said Gelsinger. The decision comes after a meeting with White House officials to discuss the semiconductor supply chain.