SAWT BEIRUT INTERNATIONAL

| 17 June 2021, Thursday | النسخة العربية

IBM boss says chip shortage could last two years

Computer chip shortage could last another two years, said US tech giant IBM President Jim Whitehurst to BBC, and that it could be “a few years” before the situation improves.

Many firms have seen production delayed because of a lack of semiconductors, exacerbated by the pandemic. The shortage has been triggered by increasing demand for TVs, phones and gaming consoles while consumers are stuck at home.

Whitehurst said on BBC World Business News: “There’s just a big lag between from when a technology is developed and when [a fabrication plant] goes into construction and when chips come out”.

“So frankly, we are looking at couple of years… before we get enough incremental capacity online to alleviate all aspects of the chip shortage.”

IBM licenses its microprocessor technology to the world’s biggest chip makers such as Intel, TSMC and Samsung.

Whitehurst added that the firm would have to look at alternative ways to meet consumer demand.

“We’re going to have to look at reusing, extending the life of certain types of computing technologies, as well as accelerating investment in these [fabricating plants], to be able to as quickly as possible get more capacity online,” he said.

The shortage, which was heightened after many factories shut down at the height of the pandemic, has been exacerbated by surging demand for home computers, gaming consoles and smartphones.

Apple, the world’s biggest buyer of semiconductors, was forced to delay the launch of its latest iPhone due to the shortage,.

The boss of networking giant Cisco, Chuck Robbins, told the BBC in April that he believed the shortage would last at least another six months.