Automotive chip shortages to continue throughout 2023, industry says

[Kyle]

Chipmakers are adding more capacity but are effectively sold out until 2024.


We can expect continued disruption to the global semiconductor industry and, therefore, continued supply chain shortages in the automotive industry throughout 2023, according to a new report in the Financial Times. The head of Onsemi, Hassane El-Khoury, told the paper that "there's nothing you can do now to change 2023" and that "we will be adding capacity every quarter, every month in 2023 to meet our customer demand."

The problem began during the pandemic and its associated shutdowns around the world. These caused automakers to temporarily idle plants due to public health concerns, leading some to cancel just-in-time orders for silicon chips. But as vaccines became available and production restarted, the silicon fabs that would have made chips for automakers had already switched that production capacity to other customers like Internet of Things device makers.

Automotive chip shortages to continue throughout 2023, industry says

Chipmakers are adding more capacity but are effectively sold out until 2024.

arstechnica.com

 

[Kyle]

Why Are Automotive Chips Still In Short Supply?


By now almost everyone knows that the auto industry is still short semiconductor chips, although the situation seems to be improving. While it’s pretty much a given that electric vehicles use more semiconductors, why do gasoline-powered internal combustion engine (ICE) vehicles use so many chips? And do these chips have attributes that make it harder to crank up the manufacturing capacity when they are in short supply? That’s what this article will try to explain.

Why are so many semiconductor chips used in cars?
The New York TimesNYT -0.2% said that a modern vehicle can use as many as 3,000 semiconductor chips, while another source said over 1000. I’m sure that depends on what you are counting, but as recently as the 1960s electronics in vehicles were pretty much limited to the car radio. How did a product that was almost entirely mechanical not that long ago end up with so many chips? The answer has several parts, and it reflects the general rise of chip usage in a vast range of consumer and industrial products: performance, cost, and the migration of functionality from hardware to software.

Why Are Automotive Chips Still In Short Supply?

There are many reasons so many semiconductor chips are used in cars, and the need for special qualification processes means shortages will take longer to abate.

www.forbes.com

 

[LightRoasted]

For your consideration ...

Why Are Automotive Chips Still In Short Supply?

Because people want their living rooms inside their cars. The big panel dash console, TV, connect their phone, satellite radio, etc.. Or at least the manufactures think that's what people want, or it's a build it and people will buy it thing.

I'd like to see some bare bones cars being made once again. A to B transpo with a simple radio and A/C and manual windows.

 

[Kyle]

For your consideration ...



Because people want their living rooms inside their cars. The big panel dash console, TV, connect their phone, satellite radio, etc.. Or at least the manufactures think that's what people want, or it's a build it and people will buy it thing.

I'd like to see some bare bones cars being made once again. A to B transpo with a simple radio and A/C and manual windows.

Suit yourself.

I love my rolling living room.

More so than my stationary living room.

 

[stgislander]

I use many of the same chips. I'm expecting 500 between now and April. Fingers crossed.

 

[spr1975wshs]

I'd like to see some bare bones cars being made once again. A to B transportation, with a simple radio and A/C and manual windows.

Both my wife and I approve this message.