Update on Semiconductor Shortage

November 24, 2021

What’s the current status of the semiconductor shortage? 

Unfortunately, it seems as though the shortage of semiconductors will continue onwards – perhaps as far as 2023. However, there is a possibility that the shortage could be addressed sooner. Companies such as Marvell Technology have invested billions in opening new factories. The shortage will likely continue into the short-term future until these factories are built.  

How long has this been going on? 

The Semiconductor Shortage has been going on since early 2020.  

Here is a link to a Wikipedia article that discusses the history of this chip shortage in further detail. 

What’s causing the global chip shortage? 

  • Pandemic-related work delays. 
  • As the pandemic continues to transform the way we work, production for many key components required for silicon chip manufacturing has been delayed. Some factories have had to halt or greatly reduce production to comply with local regulations. 
  • Increased demand as everyone continues to work from home (WFH). 
  • With more people working from home, more electronic equipment is needed than ever before. This leads to increased demand for WFH equipment, many of which use silicon chips. Many products are on back order because of this. 
  • Logistical problems. 
  • As the world moves to comply with safety regulations, delivery companies such as DHL and FedEx have been experiencing significant delays. There have also been several logistical problems over the last few months, which have led to shipping and delivery delays. 

What products are affected? 

  • Servers, infrastructure, and telecommunications equipment 
  • Computers, smartphones, and computer accessories such as docking stations and monitors
  • Game consoles and PC gaming equipment 
  • Smart home devices 
  • TVs, speakers, and audio equipment 
  • Headphones 
  • Vehicles 
  • Appliances 

Are we still able to buy the affected devices? 

  • Yes, absolutely; however, most devices will be delayed as we await arrival. As mentioned, there is a 12+ week delay on certain laptops, desktops, and other equipment. 

How SIRKit can help 

SIRKit continues to backorder and hold additional stock to assist our clients. Products that are unique or special order may still be impacted. We do have lots of stock on PCs, monitors, and peripherals; if you require anything, please contact us immediately to confirm availability. 

It’s unclear how long the world will be impacted by this shortage and what the true ETAs are. Give us a call to get more information if you’re in the market for any new equipment. SIRKit will be offering backorders on a first-come-first-serve basis. 

For more information on the silicon chip shortage, here’s an article from CNBC.