It’s not the first time we’ve heard that the global semiconductor shortage It might drag on, but Intel CEO Pat Gelsinger is now saying it might take longer than expected.
In an interview with CBNC, Gelsinger said that expects the problem to last until 2024, as the shortage hit the very machines needed for manufacturing.
This can make it difficult to meet production targets, which are higher than before due to increased demand.
This is part of the reason why we think the general semiconductor shortage will now move into 2024, compared to our previous 2023 estimates, simply because the shortage has now hit equipment and some of the increases in factory output will now be more complicated.
Gelsinger had previously said he believed the situation would last until 2023, which was in line with the expectations of analysts and other industry executives, but he is now more pessimistic.
The COVID-19 pandemic has severely affected the chip industry at a time when demand was increasing. This has forced not just tech companies but automakers like GM and Ford to limit and even suspend production.