The shortage of microcircuits will last until 2023

The constant shortage of microcircuits has become the biggest problem that has affected all industries, one way or another related to electronics. The analysts noted that the shortage of microcircuits could persist until 2023, while waves of shortages could reappear in the future.

As chip supplies continue to be limited and the cost of semiconductor wafers is skyrocketing, several companies have begun converting their manufacturing models. They are doing their best to meet the demand for semiconductor wafers.

Overall, none of these steps is sufficient to completely avoid impacts that affect everyone and will continue to affect everyone. - Richard Barnett, Chief Marketing Officer at Supplyframe, an analyst firm

He added that the affected companies do not have an effective means to tackle the problem. Short-term strategies can only afford limited chip manufacturing capacity. In his opinion, the shortage of chips will continue until 2023.

Supplyframe believes there are three main reasons for the lack of chips: demand, product cycle, and priority. In the face of a prolonged pandemic, consumer demand for electronic goods has skyrocketed. The instability has been increased by product cycles (annual iPhones that are produced in tens of millions of units). TSMC, Intel and others have prioritized leading brands such as Apple and Samsung.

Back in May, it was reported that chip lead times had increased to a record 18 weeks.

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