The world’s largest chip manufacturer expects delivery bottlenecks until 2022

The global shortage of silicon chips continues. Not only PC parts and consoles are affected, but also car manufacturers.

The world’s largest chip contract manufacturer TSMC wants to do everything possible to combat the worldwide chip supply bottlenecks. Nevertheless, the shortage could continue into next year, said company boss CC Wei on Thursday. TSMC has bought new land and equipment, hired thousands of employees and has already started building new plants. Over the next three years, $ 100 billion would be invested in expanding capacities. Wei anticipates that customers will increasingly replenish their stocks in order to better protect themselves against uncertainties in the future.

Chip delivery bottlenecks primarily affect the computer and automotive industries

Initially, the semiconductor bottleneck put pressure above all on car manufacturers, but is now also affecting manufacturers of smartphones, laptops, PC components such as graphics cards and CPUs, game consoles such as the PS5 and other devices. The chip delivery bottlenecks lead to low availability and thus to extremely high market prices. The gaming industry is particularly hard hit. Devices such as the PS5 and graphics cards are sometimes traded for three to four times their recommended retail price.

The head of chip manufacturer Intel, Pat Gelsinger, said in a recent interview that it would be years before the shortage subsided. The US company has already announced that it will increasingly produce itself and enter into contract manufacturing in competition with TSMC.

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In the first quarter, TSMC benefited from the high demand for high-performance semiconductors for the increased need for technology in home office times. The profit climbed by almost a fifth to 139.7 billion Taiwan dollars (the equivalent of 4.1 billion euros). The group also produces components for the new iPhone from Apple and Qualcomm. The profit was higher than expected by analysts. Sales rose by a quarter to almost 10.8 billion euros, which has never been reached before.

TSMC now has a market valuation of more than $ 550 billion, which is more than twice as much as Intel. The group is also ahead of the South Korean technology giant Samsung Electronics.

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