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Tech Giant Says the Lack of Chips Won’t Be Over Until Q2 2022

Carmakers suspend their production as they are waiting for chips 1 photo
Photo: Daimler
The lack of chips has wreaked havoc in pretty much every industry sector out there, and carmakers know best how significant the impact of the semiconductor shortage can be on their operations.
Several companies have turned to temporary production halts at some of their biggest factories, while others reduced working hours simply because they didn’t have enough chips to install on their cars.

And while companies like Intel have already announced their intention to expand into the business of making automotive chips, experts out there still don’t believe the whole crisis will come to an end too soon.

For example, Acer, one of the largest computing hardware out there, believes the semiconductor inventory struggles won’t come to an end until the first or the second quarter of the next year, explaining that the world is battling a “severe shortage.”

Speaking with The Guardian, Acer’s co-chief operating officer Tiffany Huang explained her company can only fill 50 percent of the orders right now, confirming that the tech industry is just as hit by the lack of chips as the automotive market.

The lack of chips in the car sector is strongly related to the one in the tech business and is mostly the result of the major boom in demand for electronics following the debut of the global health crisis in early 2020. With most people moving to remote working, the demand for PCs, laptops, phones, tablets, printers, and webcams skyrocketed, with foundries across the world struggling to fill all orders from customers all over the globe.

The automotive industry itself has been hit hard by this massive growth in semiconductor demand, so right now, the waiting times for new cars have been increased substantially for most brands.

Research estimated the production of some 4 million cars would be impacted this year by the lack of chips, though this number could grow substantially as many foundries are forced to halt operations at some of their factories.
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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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