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Trade Association: End of Chip Crisis is in Sight

Trade Association: End of Chip Crisis is in Sight

The chip shortages of recent years are almost over, predicts the American industry association Consumer Technology Association (CTA).

The enormous demand for computer chips from the corona pandemic is decreasing, says researcher Steve Koenig of the CTA, the organizer of the CES tech fair in Las Vegas. As a result, the extremely long delivery times are also slowly normalizing.

These improvements are also related to large investments by chip companies in more production. That seems like good news for the electronics industry but can also have a downside, thinks Koenig. “We are going from a shortage of chips to a possible oversupply.”

During the corona pandemic, the demand for laptops and mobile phones, among other things, increased sharply due to working from home. There was also a great need for game computers and other forms of entertainment.

The chip shortage was then felt particularly in the auto sector, which had cancelled orders at the start of the pandemic and then found itself at the back of the queue as auto companies sought to ramp up production.

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