Older-generation semiconductors – those that are often still used in automotive and industrial electronics – are set to remain in short supply for the foreseeable future. These are some of the key findings of the study “Semiconductor shortage: A different kind of trouble ahead” by Roland Berger.
“While weakening demand in consumer electronics has improved supply of leading-edge and advanced-node semiconductors, it has not (nor will it) improve the low supply of legacy chips (based on 8“ and 6” wafers) that are largely used by automotive and industrial companies.”
“Industrial and automotive companies are confronted with a structural shortage which is likely to continue to last for several years in legacy semiconductor technologies. At the same time, we see overcapacity and excess inventory in advanced technologies,” says Thomas Kirschstein RB Partner, Berlin Office, Central Europe.
Moving forward, affected companies must use the window of opportunity to move to centralized E/E architectures and design-in semiconductors from modern technology nodes. In addition, they need to focus on correcting and optimizing their inventories to improve their cash balances and eliminate unnecessary costs, all while maintaining bottleneck management of spare parts used in production.
To learn more about the short-, mid-, and long-term mitigation measures, including seven key supply strategies, please read, Semiconductor shortage: A different kind of trouble ahead.
To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.
For more help with looking at supply chain options, contact Astute Electronics
