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2023 Automotive Chip Shortage Update

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Market Intelligence

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The global electronics market is always changing. Stay informed on the best procurement and inventory strategy decisions with Smith’s market intelligence.
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Market Byte 3.30.2023
Memory manufacturers are working to solve their current challenges in varied ways. Micron and SK hynix continue to cut CAPEX plans and utilization rates for DRAM and NAND products. Samsung is still playing the market at an even keel to garner market share in preparation for the upturn. Meanwhile, KIOXIA and Western Digital are discussing a merger of their NAND and storage business.
Automotive Insights Market Byte 3.29.2023
The semiconductor shortage, coupled with a boost in demand for electric vehicles from new governmental policies, prompted IDMs and foundries to begin wafer-capacity expansions earlier than planned. The number of expansions grew at an unprecedented rate in 2022, though they are unlikely to arrive quickly enough to ease the current shortages.
Market Byte 3.28.2023
Global inflation rates are hindering consumer confidence and keeping production costs elevated, while the decoupling of semiconductor production from Chinese firms is still shuffling foundry and IDM CAPEX to other regions of the world. Still, the current environment remains somewhat stable.
Market Byte 3.23.2023
Raw materials continue to cause some concern within the global supply chain. There are currently constraints due to labor problems within the mining industry and energy outages that have hampered Chinese metal-refinement companies; additionally, the noble-gas refiners in Ukraine are still closed.
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