Adam Kos TSMC, an Apple supplier, has said it is doing everything it can to increase its productivity and ease a global chip shortage - that's the good news. Unfortunately, he added that limited supplies will likely continue into next year, which is obviously a bad year. She informed about it Reuters agency.
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Pavel Jelic Taiwan Semiconductor Manufacturing Company (TSMC) is the world's largest specialized independent manufacturer of semiconductor disks (so-called wafers). It is headquartered in Hsinchu Science Park in Hsinchu, Taiwan, with additional locations in North America, Europe, Japan, China, South Korea, and India. Although it offers various product lines, it is best known for its line of logic chips. World-famous manufacturers of processors and integrated circuits cooperate with the company, except for Apple, for example Qualcomm, Broadcom, MediaTek, Altera, NVIDIA, AMD and others.
Even chip manufacturers who own certain semiconductor capacities also outsource part of their production to TSMC. Currently, the company is a technological leader in the field of semiconductor chips, as it offers the most advanced production processes. The company did not specifically mention Apple in its report, but since it is its main customer, it is clear that it will have a significant impact on it.
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Pandemic and weather
Specifically, TSMC makes "A" series chips for iPhones and iPads, and Apple Silicon makes chips for Mac computers. Foxconn, another supplier to Apple, said in March that it expects global chip shortages to extend until the second quarter of 2022. So there are now two supplier companies that are predicting the same thing in unison - a delay.
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Already previous message claimed that Apple is facing a worldwide shortage of certain components for some of its products, namely MacBooks and iPads, causing production to be delayed. Now it looks like iPhones may be delayed as well. Even earlier reports mentioned how Samsung is running out of time to produce the OLED displays that Apple uses in its iPhones, although it was claimed that this should not have a major impact.
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The persistent shortage of chips was caused by supply chain issues that arose during the global health crisis and weather-related events in Texas. That shut down the chip factories in Austin there. Although companies have tried to keep up with standard deliveries during the pandemic, apart from the aforementioned problems, the shortage is also due to a sharp increase in demand.
Demand is also to blame for the "crisis".
This was of course due to the fact that people spent more time at home and wanted to spend it in a more pleasant way, or simply needed a device corresponding to their workload. Many have found that their machines are simply not enough for all those video conferences and other more demanding activities. As a result, the electronics companies have bought/used up all the available stock and the chipmaker is now running out of time to meet the additional demand. When Apple this, for example, resulted in a double selling his computers.
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TSMC also stated, that it plans to invest $100 billion over the next three years to significantly expand its production capacity to meet ever-increasing demand. The new investment came in the same week that Apple reportedly reserved all of TSMC's production capacity for 4nm processor chips expected to be used in "next-generation" Macs.
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Everything will be revealed at the spring event
And what does it all mean? Since the pandemic was here with us coronavir the whole of last year and will be with us for the whole of this year as well, so some improvement is only expected during the next year. So tech companies will have a hard time meeting all the demand this year and can afford to raise prices because customers will be hungry for their products.
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In the case of Apple, this is practically its entire hardware portfolio. Of course, raising prices is not necessary, and it remains to be seen whether it will happen. But what is certain is that if you want a new product, you may have to wait a little longer than before. However, we will soon find out what form the entire crisis will take. On Tuesday, April 20, Apple is holding its spring event, at which it should present some new hardware. From their availability, we can easily learn whether everything said already has any effect on the shape of the current market.
