U.S. companies fear they will not be able to produce next-generation electronics to meet the growing demand for COVID-19 telework due to semiconductor shortages.
Christian Carlos. Peninsula 360 Press [P360P].
Earlier this week, U.S. President Joe Biden held a virtual summit - organized by The White House- to discuss the issue with global tech leaders to talk about the semiconductor shortage that has the tech industry in turmoil, when most tech companies are based in the U.S., specifically in California's Silicon Valley.
At the summit, the U.S. president said urgently that "China and the rest of the world can't wait" and stressed the importance of the use of semiconductors in a bid to boost technology.
At the summit, there were high-level executives from Alphabet, Google itself, Dell, General Motors, Intel, Stellantis and Taiwan Semiconductor Manufacturing Company -better known as TSMC- which is one of the largest manufacturers of microchips and processors used in Apple products, such as the iPhone.
Joe Biden made the case that now is the time for "government, industry and communities to work together to ensure that America is prepared to compete globally. He also urged that businesses cannot "lose ground" to China.
Recall that, at the end of March this year, the Biden agenda called for an ambitious $2 billion investment plan to improve the infrastructure of the US Congress, where the use of semiconductors plays a big role.
The semiconductor shortage in technology is not only going to be greatly affected in Silicon Valley if the government doesn't offer alternatives to the U.S. market; economies like Japan and Korea are beginning to cancel key electronics launches or are delaying high-demand products.
For example, Samsung - of Korean origin - has cancelled early the release of its smartphone -smartphone- Apple has confirmed that only the production of the new 12.9-inch iPad Pro will be limited, but not because of the issue of semiconductor shortage, but because of the incorporation of miniLED panels; for Apple, the issue of semiconductor shortage is a problem that it saw since last year and knew how to overcome the challenge that all technology giants face.
Another case, for example, is that of the hoarders of the star product of the Japanese Sony: the PlayStation 5, which is impossible to find in the formal American market and is that, since it became known that its system could be used for mining cryptocurrencies, the aforementioned hoarders use bot farms to buy in full any lot for sale on the legal market and resell it for up to three times its original value.
