Every fucking thing has a chip in it now for the Internet of things. I’m guessing a lot of global chip manufacturing’s output was also secretly contracted to the defense industries and thus adding to supply chain issues. Why does my fridge need to connect to the internet? Does it really need software updates? Will it tell me if it’s been recalled?
We must remember the rapid industrialization of the 3rd world is adding to the “shortage” as well... 8 billion people need their cell phones!
The facilities to make them cost billions of investment and are extremely risky meaning no investors ever step up. Politicians don't step up much because it doesn't generate very many jobs either.
And the biggest impact to the chip manufacturing problem is Taiwan. The world's largest pure play manufacturer, TSMC is in Taiwan. This is one of the biggest reasons China wants it. And if they take Taiwan expect the shortage to become orders of magnitude worse.
Yes. A good thing to look into now would be the movement of necessity in cuba. They were making so many antennae out of lunch trays, they became a hot commodity.
Repurposing, stripping, tear downs and rebuilds... every crew/posse/clan/gang needs at least two techies... hardware and software.
Local facilities making the chips means faster delivery time of finished chips. When a company orders chips from
Taiwan, they’ll generally ship them as cheaply as possible meaning slow boat from China style delivery. With shipping delays, supply chain interruptions, boats waiting in queue to get into the harbour and then unloaded, you could have the existing factories keeping up before but now deliveries haven’t been made and bam, shortage.
Having a local supplier can help drive down prices through competition and remove dependency on a foreign nation which SHOULD be a goal but globalists gonna globalist.
If it takes them say 2 weeks to process your order of chips, and it’s 3 states away, you could have your chips in a couple of days by truck. Your order from Taiwan could be 6 months from arriving. This is why we need more chip facilities.
The power of bureaucracy. Remember, cars run just fine without computers if the government would allow that.
Run better.
Every fucking thing has a chip in it now for the Internet of things. I’m guessing a lot of global chip manufacturing’s output was also secretly contracted to the defense industries and thus adding to supply chain issues. Why does my fridge need to connect to the internet? Does it really need software updates? Will it tell me if it’s been recalled?
We must remember the rapid industrialization of the 3rd world is adding to the “shortage” as well... 8 billion people need their cell phones!
...same problem with ammo.
The facilities to make them cost billions of investment and are extremely risky meaning no investors ever step up. Politicians don't step up much because it doesn't generate very many jobs either.
And the biggest impact to the chip manufacturing problem is Taiwan. The world's largest pure play manufacturer, TSMC is in Taiwan. This is one of the biggest reasons China wants it. And if they take Taiwan expect the shortage to become orders of magnitude worse.
Yes. A good thing to look into now would be the movement of necessity in cuba. They were making so many antennae out of lunch trays, they became a hot commodity.
Repurposing, stripping, tear downs and rebuilds... every crew/posse/clan/gang needs at least two techies... hardware and software.
Local facilities making the chips means faster delivery time of finished chips. When a company orders chips from Taiwan, they’ll generally ship them as cheaply as possible meaning slow boat from China style delivery. With shipping delays, supply chain interruptions, boats waiting in queue to get into the harbour and then unloaded, you could have the existing factories keeping up before but now deliveries haven’t been made and bam, shortage. Having a local supplier can help drive down prices through competition and remove dependency on a foreign nation which SHOULD be a goal but globalists gonna globalist. If it takes them say 2 weeks to process your order of chips, and it’s 3 states away, you could have your chips in a couple of days by truck. Your order from Taiwan could be 6 months from arriving. This is why we need more chip facilities.
You could just go read up on the subject and find out that capacity is sold months & years ahead of time.
The car people thought the pandemic would lead to a global depression and no demand for cars. So they gave up their production slots.
In the meantime, the slots were sold. When the car people came back, there were no slots to buy.
New factory or production lines take time.
We installed a new line 18 months ago and it isn't running yet.
Some things, can be built on existing equipment and done quickly. Other things, not so much
What do they mean chip shortage? Are we out of silicon wafers? Like there isn't a singular thing called a 'chip'
It take a long time to plan, and build, a chip factory. New ones are being built right now in the states.
Hell, even in normal times, building anything takes years of planning and financing and shit before ground is broken, let alone actually finished.
It has to do with 'just in time' manufacturing. This article explains it better than I can https://www.ft.com/content/8fd09156-434c-45c6-8d26-3765b98f1980
You tell me then.
We certainly need chip factories stateside, you don't want to have a dependence on China.