autoevolution
Car video reviews:
 

Tech Giant Has Fantastic News About the Chip Shortage

Guessing when the chip shortage would come to an end has until now proved to be a major challenge, even for the most experienced industry analysts.
The production of cars has been struggling due to the lack of chips 6 photos
GM's Flint assembly plantGM's Flint assembly plantGM's Flint assembly plantGM's Flint assembly plantGM's Flint assembly plant
And it’s all because the global chip inventory can be easily impacted by a series of very dynamic factors, including not only the lockdowns that show up out of nowhere but also the geopolitical tensions currently happening in Europe.

So right now, almost everybody expects the chip shortage to remain a problem for the rest of the year and even through 2023, with several analysts expecting more substantial recovery signs in approximately 12 months or even more.

Logitech, however, is a lot more optimistic.

Known for its computer peripherals and software, Logitech is obviously one of the tech companies that are deeply involved in the chip business, especially as it’s in permanent contact with the largest suppliers in the industry.

As a result, Logitech should theoretically be able to provide a very accurate picture of how the market would evolve in the short term, and as it turns out, the company has super-good news on this front.

Chief Executive Bracken Darrell was quoted as saying that the chip inventory is already improving, and with a little luck, the shortage should come to an end in the third quarter of the year. If it doesn’t, then the fourth quarter will almost certainly witness the end of the crisis, Darrell believes.

Of course, it’s important to keep in mind that not all industries will feel the end of the chip shortage at the same time, especially depending on the chip design they use.

Some analysts believe that the inventory in the automotive industry would remain constrained for at least six more months after the world overcomes the crisis, so in theory, everything could return to normal for the majority of carmakers at some point in 2023.

 
 
 
 
 

Would you like AUTOEVOLUTION to send you notifications?

You will only receive our top stories