Patrick P. Gelsinger- CEO of Intel Corporation has reportedly claimed that it may take a couple of years for global shortage of semiconductors to be fulfilled, a growing problem that has affected certain automobile production lines along with other sectors like consumer electronics.
During a virtual meeting at the Computex trade show held in Taipei, Gelsinger mentioned that the surging work-from-home trend as a result of the coronavirus outbreak has led to a sudden rise in the demand for semiconductors which has put huge stress on global supply chains.
He added that while the industry has taken adequate measures to address growing supply constraints, it could take many years for the ecosystem to meet the shortages of foundry capacity, parts, and substrates.
According to a press release, the CEO of Intel was quoted stating that the company has planned to commence the production of chips in the next six to nine months to address the shortages faced by U.S. automobile firms.
Reportedly, in March 2021, the American multinational corporation proposed a USD 20 billion worth plan to expand its advanced chip production capacity, developing two factories in Arizona along with opening its facilities to outside buyers.
Commenting on the same, Mr. Patrick said that Intel is planning to expand its operations to other locations across Europe and the US, ascertaining a secure and renewable semiconductor supply chain across the globe.
In the coming times, Intel’s efforts could directly challenge two other leading advanced chip manufacturers – South Korean- Samsung Electronics Co. Ltd., and Taiwan Semiconductor Manufacturing Co. Ltd.
Citing sources, the aforementioned companies are dominating the semiconductor manufacturing space, after moving its base from the US, where most of the technology was once made, to Asia, where over two-thirds of the advanced chip solutions are now produced owing to the wide availability of raw materials and cheap labor rate.