The supply of PS5 and XBox consoles as well as electric cars, TVs, laptops, printers and 5G phones could be hit for up to 18 months due to a global shortage of microchips after a Taiwan mega-factory was scuppered by Covid-19, Trump s Chinese trade war and even a natural disaster.
Apple, Sony, Samsung, Epson, Microsoft, Ford, Toyota and Volkswagen are among the huge brands whose products have been delayed or even shelved because of a lack of components. From notebooks, monitors, TVs, smartphones, tablets to cars, there is an overall shortage of chips. We haven t seen anything like this before, Eric Li, a spokesman for Himax Technologies, which designs chips used in screen displays, said today.
The world is suffering from a significant shortage of semiconductors, the chips used in almost every technology nowadays, from laptops to televisions and video games consoles.
Major automotive giants have had to scale back production, while Samsung has cancelled its Galaxy Note 21 model, and Apple supplier Foxconn warns that parts will be delayed until next year.
New analysis from investment firm PIMCO suggests that while the shortage will be somewhat alleviated soon, demand for semiconductors will continue to grow as it finds use in new ways. But how did we arrive at this position and what will be its long-term consequences:
ROLLS-ROYCE has reported a net loss of nearly £4 billion and has warned job losses could be on the horizon. The manufacturing company, which has a major plant in Barnoldswick, saw revenue fall from £15.4 billion to £11.7 billion over the course of 2020, a loss of £3.9 billion. This comes with the aviation industry across the country devastated by the impact of the coronavirus pandemic. Rolls-Royce chief executive Warren East said: “We have taken decisive actions to enhance our financial resilience and permanently improve our operational efficiency, resulting in a regrettable, but unfortunately very necessary, reduction in the size of our workforce. “With the support of our stakeholders we successfully secured additional liquidity with a rights issue, bond issuance and further credit facilities put in place during the year.