Chip shortages affecting multiple industries are unlikely to end in 2022, says AMD CEO Lisa Su. The situation may improve only towards the end of the year.
“A lot of money is pouring into the semiconductor industry, so we are making progress. I think the first half of the year will be pretty busy, but things will get a little better in the second half,” Lisa Su said in an interview with Yahoo Finance.
Last fall, AMD's CEO noted that improvements would come incrementally as additional manufacturing capacity becomes available.
“You know, opening a new plant can take 18 to 24 months, and in some cases even more. However, investments in many sites began already a year ago.”
Demand for chips in 2021 is up 17% from 2019, according to a report from the US Department of Commerce. The paper says that the average semiconductor stock has fallen from 40 days in 2019 to less than five days in 2021, with inventories in key industries even lower. The US semiconductor industry is looking forward to the adoption of the Chip Act, which is intended to stimulate the production of semiconductors in the US. The bill is currently being debated in the US House of Representatives.
Meanwhile, AMD continues to work with its key partner TSMC; as for its competitor, Intel, it is investing billions of its own money in building new chip manufacturing facilities. The company announced last week that it had acquired Israel's Tower Semiconductor for $5.4 billion.
bbabo.Net