The computer chip and semiconductor shortage is an IT supply-chain stumbling block. Take, for example, Marvell Technologies, which develops and produces semiconductors and related technology. In late 2021, they were offering customers a 52-week delivery time.
Meanwhile, Intel’s chief warned the chip shortage could last into 2023. The founder of Dell said even cheaper components are proving difficult to source. In a Reuters report, Michael Dell said that “the shortage will probably continue for a few years" and that "even if chip factories are built all over the world, it takes time.”
What’s causing the shortages?
For one thing, more people bought computers during the pandemic for remote work. Meanwhile, COVID-19 created a logistical nightmare for technology production and shipping and continues to do so. In March, the major Chinese tech hub of Shenzhen, went on lock-down to combat an outbreak of virus cases.
Critical international ports are also struggling to stay open amidst COVID-19 outbreaks. In March, trucks couldn't reach container ships at the port city of Yantian due to lock-down. The port had already closed last June for a week, and it took months to deal with the shipping backlog.
Many manufacturers need Chinese components before they can start building their products. Thus, the shortage stops an entire production line.
None of this is helped by people hoarding products to take advantage of supply-chain shortfalls.
Plus, business tech manufacturers aren’t the only ones needing semiconductors and chips. If it’s got an on-off switch (e.g. your phone, your car, or any other electronics), it’s hit by this supply chain shortage.
What does this mean for your tech?
Business technology is going to cost more. No surprises there. It’s basic supply and demand. Not only is technology more expensive, but it's also going to take longer to reach you.
What can you do? Plan ahead. If you've been thinking about a hardware upgrade, don’t wait to make your purchasing strategy. Anticipate your IT needs in advance to accommodate buying challenges.
You'll also want to prioritize maintenance of your existing technology. You can’t risk a critical piece of your network failing. You might have to wait weeks (months even) for a replacement.
With hardware in short supply, a repair can also take more time and money. You’ll want to take care of what you currently use to make sure it lasts as long as you’ll need it.
Working with a Managed Service Provider can help. Our experts can do preventative maintenance and support your long-term IT strategic planning. Our established vendor relationships could also help us access the technology you need. Let us take care of your short-term and future technology issues. Contact us today at 937-660-4899!
