Semiconductor Industry "Supply Shortages to Continue This Year"

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Kwon Jae-hee] The semiconductor industry has forecast that the semiconductor supply shortage will continue this year as well.

According to Bloomberg on the 5th (local time), most semiconductor company executives attending the technology and automotive forum hosted by JP Morgan, both online and offline, predicted that the supply shortage would not ease in the first half of this year.

Bloomberg also reported that many executives expected this situation to continue thereafter.

Colette Kress, Chief Financial Officer (CFO) of Nvidia, forecasted, "The supply situation will only improve somewhat in the second half of the year."

Tom Caulfield, Chief Executive Officer (CEO) of GlobalFoundries, a foundry (semiconductor contract manufacturing) company, predicted that the supply shortage would not be resolved this year.

CEO Caulfield explained that considering the time required for facility expansion and other factors, a period without supply issues does not seem likely within the next two years.

Hussein Elkurdy, CEO of ON Semiconductor, a manufacturer of automotive semiconductors, also expected that demand would exceed supply throughout this year.

Prashant Mahendra-Rajah, CFO of Analog Devices, another automotive semiconductor manufacturer, said that the supply shortage would continue until the third quarter but that supply would increase significantly in the fourth quarter.

Bloomberg noted that all semiconductor company executives evaluated the current supply shortage as a result of increased customer demand, and despite the severe shortage, phenomena such as hoarding have not appeared.

This content was produced with the assistance of AI translation services.