Intel CEO Gelsinger says resolving the global chip shortage could take years

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Global chip shortages could continue for a few more years Intel CEO Pat Gelsinger said Monday in Taipei during a virtual session of the Computex trade show. As people work and go to school from home due to the pandemic, this has led to a strong demand for semiconductor-requiring smartphones and tablets.

It may still take some time for the chip market to return to normal. As Gelsinger notes, “Although industry has taken steps to remove restrictions in the near future, the ecosystem may still take a couple of years to lack casting capacity, substrates and components.” In March, Intel announced it would spend $ 20 billion to build two factories in Arizona as it tries to take the business away from companies that want to turn their chip models into components.
By becoming a contract manufacturer and leveraging its foundries, Intel hopes to compete with two independent foundries around the world: Taiwan’s TSMC and South Korea’s Samsung foundry. Former Apple “A” and “M” cables, MediaTek’s Dimensity chips and more. Samsung builds Qualcomm’s Snapdragon chipsets and modem chips (including Snapdragon 5G modem chips).

Two-thirds of advanced chips made in Asia have been aspired by the United States to become semiconductor power by itself. Intel’s Gelsinger says: “We plan to expand to other locations in the United States and Europe by ensuring a sustainable and secure semiconductor supply chain to the world.” TSMC will also build as many as six production facilities in the United States over the next three years.

Will the US eventually become a player in the chip industry? That is the goal, but it is still too early to say.

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