Intel once again warns of chip shortage continuing until 2023

As the Omicron variant spreads quickly across the globe and hopes of a fast finish to the pandemic fade into the rearview mirror, so too does our hope for a fast finish to widespread chip provide shortages. Intel CEO Pat Gelsinger, in an interview with Nikkei Asia said that he doesn’t anticipate the continued chip shortage to ease earlier than 2023. The plans in your new gaming rig might need to be delayed even longer.

Gelsinger’s feedback got here throughout his South East Asia enterprise journey, the place Intel introduced a 7.1B funding to develop its manufacturing in Malaysia. He teased much more Intel funding to come back, saying: “I anticipate to announce our subsequent main U.S. website and our subsequent main European website within the close to future as nicely.” It’s good to see all main semiconductor producers taking some of their enormous earnings and investing them, in order that the world has some buffer to guard towards future provide shocks.

The drawback is, these amenities don’t simply spring up in a single day. Gelsinger himself stated that extra manufacturing capability can take at the very least three years to yield outcomes. Intel’s previously announced expansions within the USA, Israel and Ireland are nonetheless a good distance from starting manufacturing.

Several huge tech CEOs have made statements over the previous couple of months with predictions of provide enhancements in 2022, and even oversupply, however with the Omicron variant quickly spreading, it appears like expectations are being reset. There’s a sense of one step ahead and two steps again. And it’s not simply the pandemic. There’s the USA-China commerce warfare, China-Taiwan and Russia-Ukraine issues, protectionism and even weather, equivalent to that which affected Texas earlier in 2021.


It’s not all doom and gloom although. Disruptions to world provide chains are partly attributable to strict lockdowns and precautionary quarantines, one thing that governments are more and more much less more likely to impose on a big scale. Keeping factories up and operating is clearly important for world provide chains. Malaysia’s Senior Minister of International Trade and Industry Mohamed Azmin Ali said: “I’ve assured Pat (Gelsinger) that there will likely be not lockdowns, solely focused ones.” This appears to be a pattern, particularly because it’s wanting an increasing number of like Covid-19 will turn out to be endemic.

TSMC silicon wafers

(Image credit score: Taiwan Semiconductor Manufacturing Co., Ltd)

Still, sadly, it appears as if a return to normalcy in 2022 is wanting an increasing number of unrealistic. Consoles proceed to vanish as quickly as they’re listed, DDR5 reminiscence is just about unavailable and the GPU story isn’t going away. The GPU problem is as a lot a requirement drawback as it’s a provide one. On that entrance, issues ought to get higher as mining demand begins to drop off as we get nearer to Ethereum’s deliberate shift to a Proof of Stake consensus mechanism.


The investments that started on the of the pandemic will regularly begin to bear fruit in 2022 and 2023. Let’s hope PC players have a happier 2022 vacation season. Building a brand new gaming rig proper now isn’t unattainable, but it surely’s nonetheless far dearer than it needs to be.

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