The last time Pat Gelsinger called out bad news in October in which he said was in the worst of it now and didn’t expect to have supply-demand balance until 2023. Toshiba made a similar pronouncement a month earlier. How is Game Studios so Invested in NFTs? Now Gelsinger has back back to remind everyone that the tech apocalypse will continue for at least one year. Gelsinger said that at a news conference attended by Nikkei in Kuala Lumpur, the global chip shortage has continued till 2023. “COVID drained the supply chain, causing it to get bad,” said Gelsinger. “Demand increased to 20% year-over-year and disrupted supply chains created an enormous gap… and that rising demand persisted.” Intel plans on the chip shortage with new manufacturing facilities in Arizona and New Mexico, and two more unannounced facilities in Europe and the USA. But it takes time to build the chip foundries and the back-end manufacturing is needed to transport them. That’s why Gelsinger has arrived in Malaysia. Intel is investing 7-years-long to build its advanced packaging plant in next 10 years. Packaging for chips is often overlooked, but importantly final step of production. chips are notoriously fragile and easily damaged in transit – without proper packaging. Intel isn’t the only company that invests in the production of new chips. Sony is also looking for a new chip foundry in Japan to help manufacture PS5. To be honest, the post-sip 5 shortage won’t improve anytime soon. That foundry will not begin to produce chips until 2024.
