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Tech Giant Has Terrifying Chip Shortage News for Carmakers

The chip shortage has caused massive disruptions in the global car production 6 photos
Photo: Ford
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If you’re trying to figure out when the chips shortage could come to an end, the best place to look for forecasts is the tech world.
As compared to carmakers and other companies in various industries, tech giants have been working with chip suppliers for much longer, so based on their experience, they should be able to guess when the semiconductor crunch could come to an end more accurately.

Nintendo is one of the companies that have been struggling with the super-constrained chip inventory as well, as video game consoles have been pretty impossible to find in the last two years.

But just like everybody else, Nintendo is also keeping an eye on the supply chain, and unfortunately, the company has bad news for those who were hoping to see the chip shortage not necessarily coming to an end but at least easing off.

Nintendo president Shuntaro Furukawa has recently been quoted as saying that, in his own words, “there’s no end in sight” for the chip shortage. In plain English, we should just stop dreaming about things coming back to normal because right now, this is something that’s not only impossible to guess but also unlikely to happen anytime soon.

In the meantime, everybody in the automotive market seems to be confident that the chip inventory would improve in the second half of the year. In theory, this is totally possible, especially as the demand for other electronics, such as PCs, laptops, and tablets, is slowing down.

With chip makers, therefore, receiving fewer orders for such products, they can adjust their production to focus on the industries where the demand continues to be strong, including the automotive market.

Intel, on the other hand, which is one of the biggest players in the chip world, doesn’t believe the crisis will be over before 2024. This means two big tech companies are on the same page regarding the semiconductor crisis, so we’d better not hold our breath for things to come to an end too soon.
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About the author: Bogdan Popa
Bogdan Popa profile photo

Bogdan keeps an eye on how technology is taking over the car world. His long-term goals are buying an 18-wheeler because he needs more space for his kid’s toys, and convincing Google and Apple that Android Auto and CarPlay deserve at least as much attention as their phones.
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