Musk: The chip crisis will end next year

Tesla CEO Elon Musk said the current semiconductor crisis is a “short-term” problem and will be over by next year.
The famous billionaire’s words came at an Italian technology event broadcast on the Internet, during which he added, “There are a lot of factories that are being built that specialize in the field of chip manufacturing, and I think we will have a good capacity soon.” Without specifying the location of the factories that he referred to.
Earlier, the heavyweight chip companies “Intel” of the United States and “Taiwan Semiconductor Industry” of Taiwan announced their plans to build new factories in the United States, but their operation will take several years.
Glenn O’Donnell, deputy director of research at Forrester, a consultancy, believes the shortage could continue into 2023. This is due to rising demand and constrained supply.
As it became known, the global chip shortage has greatly affected a wide range of industries, but the automotive sector in particular was the most affected. Big names in the industry, such as Ford, Volkswagen, Daimler and others, were forced to suspend production at various points and lower their manufacturing targets.
As for Tesla, it was also not spared from the shortage in semiconductors, and announced a while ago, specifically during the first quarter profits, some supply chain problems related to the shortage of chips.
“In the second and third quarters of this year, we had some of the toughest supply chain challenges ever in Tesla’s career,” Musk said in his recent speech.
Consulting firm Alex Partners has forecast that the chip shortage will cost the auto industry $210 billion in revenue this year alone.
Automakers are using semiconductors in just about everything from steering systems and sensors to brakes and even parking cameras, and the smarter the cars, the more chips they use.





These were the details of the news Musk: The chip crisis will end next year for this day. We hope that we have succeeded by giving you the full details and information. To follow all our news, you can subscribe to the alerts system or to one of our different systems to provide you with all that is new.

It is also worth noting that the original news has been published and is available at saudi24news and the editorial team at AlKhaleej Today has confirmed it and it has been modified, and it may have been completely transferred or quoted from it and you can read and follow this news from its main source.

PREV MENA total startup funding drops 54% month-on-month: Wamda 
NEXT Saudia to bring voice recognition technology, augmented reality on board: VP

Author Information

I am Joshua Kelly and I focus on breaking news stories and ensuring we (“Al-KhaleejToday.NET”) offer timely reporting on some of the most recent stories released through market wires about “Services” sector. I have formerly spent over 3 years as a trader in U.S. Stock Market and is now semi-stepped down. I work on a full time basis for Al-KhaleejToday.NET specializing in quicker moving active shares with a short term view on investment opportunities and trends. Address: 838 Emily Drive Hampton, SC 29924, USA Phone: (+1) 803-887-5567 Email: [email protected]