Global microchip crisis
Jun 3, 2021
A global chip shortage is affecting how quickly we can drive a car off the lot or buy a new laptop. WSJ visits a fabrication plant in Singapore to see the complex process of chip making and how one manufacturer is trying to overcome the shortage.
How are Microchips made? | Infineon
Jul 17, 2019
How are microchips made – from sand to semiconductor: Microelectronics usually is hidden to society – however, it is a constant companion in our daily lives. It tremendously contributes to the ongoing development and digitization of our world. But what is actually behind this technology? This is how semiconductors work! In this video we explain how microchips are made and what conditions are necessary for manufacturing.
5 reasons why the world is running out of chips
Aug 24, 2021
Did you know that there is an international chip shortage? Indeed, the world does not have enough chips, and it’s a real problem. Chips can be found in almost every product you use. They are in your phone, your computer, and your TV and even power the factories that make all of these things. As a result, it is understandable that there will be a high demand for them. So, why isn’t that demand being met?
There are several reasons starting with the COVID-19 pandemic. There are a variety of reasons for this, beginning with the COVID-19 pandemic. The pandemic increased the demand for electronic products. People were bored at home, so they began ordering a large number of devices, and chip manufacturers were unable to keep up. Then, there was the fact that the U.S. government placed restrictions on China’s biggest chip manufacturer: Semiconductor Manufacturing International Corporation (SMIC). This trade war prevented SMIC from selling chips to some of the world’s largest corporations. Finally, there were the unrelenting droughts and fires that plagued the country.
Chip manufacturers use large amounts of ultra-pure water to clean their factories and wafers before beginning the chip-making process. This significantly reduces the ability to produce new chips when there is no water readily available. So, how are companies dealing with all these shortages? By getting creative, adapting, and growing. Tesla, for instance, rewrote its own vehicle software to support alternative chips. Will these solutions work? How long will this chip shortage last and what can be done to alleviate it? We answer all these questions and more in our video.
Semiconductor Shortage & Its Impact
Many sectors from auto industry to consumer goods and smartphone manufacturers have incurred losses despite rising demand for products due to an acute shortage of semiconductors chips — used for manufacturing several goods including electronic products, vehicles, smartphones and other gadgets. The global chip supply crunch, which started after the pandemic in 2020, has intensified over the last few months and major companies across several industries are struggling to meet the rising demand for electronic goods and components.
Some key reasons behind the global chip shortage are supply chain disruptions due to the pandemic, a sharp rise in demand for electronic goods as more people are now working from home and lack of investment in chip building capacities. Patrick Armstrong, CIO of Plurimi Investment Managers, told that the chip shortage could last at least 18 months before the demand-supply equation normalises.
US and Japan strengthen relations to counter China and end semiconductor crisis
The shortage of semiconductors and the dependence on China for their manufacture has caused significant disruptions in the world’s production system in recent years. As a result, the most significant industrial sectors, such as the technology and automotive industries, were forced to suspend or considerably reduce their production.
As the global supply chain was affected, the economic consequences were catastrophic and are still being felt today.
Faced with this situation, the United States and other world powers are implementing various measures to counteract the impact, secure supply chains, and prevent China from becoming the central chip producer.