Intel CEO says global chip shortage to last for years

The top official of US-based Intel Corporation said the global chip shortage may last for years.

Photo from: Interesting Engineering

Chip shortage a long-lasting problem in the global market

Intel chief executive officer Pal Gelsinger previously said that the issue could run for at least two years.

However, the executive said the world may suffer much longer as the coronavirus pandemic forced countries to implement remote working and distance learning, resulting in a "cycle of explosive growth in semiconductors", straining global supply chains.

But while the industry has taken steps to address near term constraints it could still take a couple of years for the ecosystem to address shortages of foundry capacity, substrates and components, Gelsinger said during a virtual session of the Computex Trade Show in Taipei.

The CEO of Logitech, Bracken Darrel, on the other hand, said the group may face supply issues for another three to six months. Other companies, he noted, may have to deal with the problem for another year.

In February, Qualcomm Inc.'s Cristiano Amon, head of the world's largest mobile chipmaker, said the shortages were seen "across the board", affecting auto and electronic makers.

Executives previously said the move of Chinese tech giant Huawei Technologies Co. to hoard components amid its trade war against the US also contributed to the shortages.

The shortages are expected to wipe out USD 61 billion of sales for the auto industry alone.

Source: GizmoChina