Intel CEO predicts that the chip shortage will last at most 2024

In an interview, Pat Gelsinger, Intel CEO stated that the supply of semiconductors will be tight until 2024. Gelsinger said that this issue could drag on because of a shortage in key components.

He said, “In the supply chains, lockdowns at Shanghai and war in Ukraine have shown more than ever that there is a need for more resilient and geographically more balanced semiconductor manufacturing.”

Last year, the US economy was hit by a $240 billion chip shortage.

Gelsinger stated that the industry would continue to face challenges up until 2024, in areas such as foundry capacity or tool availability.

In the first quarter of 2018, chip maker Intel posted record quarterly revenues at $18.4 Billion, which slightly exceeded its guidance. The net income soared by 141% to $8 billion.

Gelsinger stated that there is still some weakness in the low-end consumer PCs and inventory adjustments.

Overall, however, customers are still requesting more in fields like cloud computing, graphics and networking. He explained that semiconductors “are the engine of innovation and transformation in a broad range of industries.”

Intel announced recently a number of investment opportunities in Europe and the US.

The chip maker stated that these investments will position Intel for future growth. It is a major step towards our goal to have half of the world’s semiconductor production located in Europe and the US.

Counterpoint Research has found that global shortages of semiconductor chips will continue to ease in the second half 2022, as supply-demand gaps for most components decrease.

Since the beginning of the year, many industries have been affected by these shortages. Vendors across the supply chain have worked hard to deal with uncertainty. The gap between demand and supply has been decreasing since late 2021. This signals an end to tight supply across the wider ecosystem.

In 2022 Q1, inventory levels for 5G-related chipsets have been significantly higher, including power amplifiers, mainstream application processors, and RF transceivers. This has helped to ease the shortfall in smartphone components. There are exceptions, such as older 4G processors and power management ICs.

With inputs from the IANS

Faqs

Experts do not expect the supply situation to ease until mid-2022 at the earliest, if not until 2023.21-Feb-2022

When Will It Finally End? Unless there is a sudden drop in demand, the chip shortage will not be over anytime soon, analysts said. Most industry executives warn the shortage will likely not ease before the second half of 2022, with some products continuing to be delayed by a deficiency of chips in 2023.14-Mar-2022

Unless there is a sudden drop in demand, the chip shortage will not be over anytime soon, analysts said. Most industry executives warn the shortage will likely not ease before the second half of 2022, with some products continuing to be delayed by a deficiency of chips in 2023.14-Mar-2022

Unless there is a sudden drop in demand, the chip shortage will not be over anytime soon, analysts said. Most industry executives warn the shortage will likely not ease before the second half of 2022, with some products continuing to be delayed by a deficiency of chips in 2023.14-Mar-2022

A shortage in the supply of semiconductors first hit the automotive industry during the COVID-19 pandemic and has had a cascading effect, causing global disruption. The shortage can be traced back to the first half of 2020, when overall consumer demand for cars declined during the lockdown.22-Nov-2021

With the COVID-19 pandemic and the spike in demand in the recovery, the semiconductor industry has seen one of its longest shortages, from the spring of 2020 through the fall of 2021. Deloitte expects it will last at least through 2022, pushing the lead times out for the shipment of some components into 2023.06-Dec-2021

Conclusion

Intel CEO says the chip shortage will last until 2024. The US economy was hit by a $240 billion chip shortage in 2018 which has not eased thanks to the demand for more semiconductors in industries such as cloud computing, graphics, and networking. Intel’s recent investment opportunities in Europe and the US