Intel CEO Pat Gelsinger predicts chip shortages will last until 2023

Promising: Among the biggest names in the tech industry, there are divided opinions about when the global chip shortage will end. A more optimistic outlook for the second half of next year, while the opposite and possibly more realistic view is that things won’t improve until 2023. The latter group, unfortunately, is joined by Intel CEO Pat Gelsinger.

Talking about Intel’s third-quarter earnings, Gelsinger said: CNBC: “Now is the worst. [the semiconductor shortage], every quarter of next year we will gradually improve, but until 2023 they will not have a balance of supply and demand. “

Gelsinger, along with auto industry analysts, semiconductor manufacturers and Flex, the world’s third-largest contract electronics manufacturer, predicts that the chip shortage will continue for at least another 14-15 months, if not longer.

It seems that those who create products that use chips are more hopeful that things will get better sooner. Xbox boss Phil Spencer and Lisa Su of AMD believe supply and demand will level out next year, as will market research firm IDC. Meanwhile, Nvidia is somewhere in between, predicting that GPU supply problems will remain “overwhelmingly” in 2022.

In addition to disappointing forecasts, Intel shares fell 8% amid news that its Client Computing Group, which includes its chip business, cut revenues 2% to $ 9.7 billion during the 2 October. said its PC sales fell mainly due to “the limitations of the laptop ecosystem.”

Notebook sales are affected not only by the lack of microcircuits, but also by the lack of other components. “We call it coincidence sets, where we might have a CPU, but you don’t have an LCD or no Wi-Fi. Data centers are particularly affected by some power chips and some networking or networking chips, ”explains Gelsinger.

The good news came in the desktop category, where revenues were up 20%, but not enough to offset the decline in laptop sales.

A recent IDC report showed that due to supply chain bottlenecks and ongoing logistics problems in the US PC market, there has been a year-on-year decline in shipments in the first quarter since the start of the pandemic.

H / T: Facets

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