Posted on 05/10/2021 8:03:07 PM PDT by SeekAndFind
The continuing global semiconductor shortage has highlighted the United States’ dependence on a fragile global supply chain of chip manufacturing that’s concentrated in Asia.
Amid this environment, China’s increasingly combative stance against Taiwan—along with its massive domestic investment into chipmaking—is a key risk to the security of America’s chip supply.
The worsening global computer chip shortage has been destructive to several industries and hurt consumer pocketbooks.
While some U.S. automakers saw output disrupted late last year due to chip shortages; more recently, they have resumed production, just without certain “smart” features that require such chips. The domino effect is a lower supply of new cars, which drives up prices. Japan’s Sony Corp. recently blamed a lack of supply of its PlayStation 5 console on production stoppages due to a shortage of chips.
Supply constraints have hit other home appliances—all driving up consumer prices—due to chip scarcity.
While several factors have led to the shortage, the key reason is last year’s semiconductor production stoppage due to the CCP virus pandemic. That supply shock was worsened by pent-up demand from businesses, as consumer spending ramped up globally; the demand is augmented due to consumer products, from toothbrushes to coffee makers, now requiring chips, because of “smart” features and internet connectivity.
That’s put pressure on the U.S. strategy of mostly outsourcing its chip manufacturing. While the United States is home to several semiconductor companies such as Intel, AMD, Qualcomm, and Nvidia, these chip designers have outsourced actual production to Asian fabricators or foundries.
(Excerpt) Read more at theepochtimes.com ...
Like most other outsourced products, computer chips are cheaper to produce in Asia. But unlike other manufacturing processes, production can’t be easily moved. It’s an immensely complicated process and takes tens of billions of dollars of upfront investment.
That is why the world’s biggest chip fabrication company, Taiwan Semiconductor Manufacturing Co. (TSMC), plays such an important role in global chipmaking, and why China—and most recently the United States—have feverishly invested in chip manufacturing capabilities.
Ping.
“threaten US tech sector”
Ha! It’s a lot bigger than that. It threatens every sector that uses computers, networking equipment, and embedded processors.
My car, coffee pot, door lock, stove, toaster, garage door opener, television, and refrigerator all tell me they are feeling threatened.
Can we move Taiwan to the US? We could move Massachusetts, New Jersey and New York to Taiwan. Or we could just make a straight trade and move California. Either way I’m good.
TSMC is building new facilities in AZ.
Some of the issue is that facilities are converted to modern chips and auto makers need chips that are two generations out of date.
wouldn’t it be poetic justice if this shortage of CHIPS brought down the global elite’s dream of a technocratic “utopia”/DYSTOPIA?
NOOOOOOOOOOOO !!!! Keep them out of here !!!!!!!
RE: We could move Massachusetts, New Jersey and New York to Taiwan
Well, there is an ongoing joke among the students that the elite Massachusetts college: MIT actually stands for Made In Taiwan :)
Shortage of Non-Chinese Made Semiconductors - bump for later...
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