Intel CEO Pat Gelsinger believes that the semiconductor shortage will not end soon. The executive has spoken about the future of the company in an interview with CNBC, after announcing the results of the third quarter of 2021 that also reflect a 2% year-on-year drop in Client Computing Group, Intel's processor division, due to the aforementioned supply problems. As well as a 5% drop in the sale of laptops.
Gelsinger, in relation to the shortage of chips, assures that they are now in the worst moment, but that during the next months they will “gradually improve” until end with a “balance between supply and demand” from of 2023 . The head of the company attributes the negative results of its processor division to a “set of coincidences” caused by the low stock of some components necessary for the manufacture of laptops.
Part of the supply problem in semiconductors is caused by a high demand for computers and laptops , which increased considerably during the pandemic. Gelsinger is not as optimistic as Lisa Su, CEO of AMD, who assures (via The Verge) that the shortage of chips will appease in 2022. According to the Intel executive, the high demand in these will continue. “We believe the PC business is now structurally larger, a million-unit-a-day type of business,” he says.
Intel is looking for solutions to address shortages chip
Pat Gelsinger's company, yes, has a great strategy to combat the shortage of semiconductors. In September, Intel confirmed an investment of 80 million to expand the production of processors to Europ a. The company also plans to expand its business model by manufacturing or assembling processors from other manufacturers, according to the aforementioned media.
Intel, on the other hand, can boast good growth in other areas. In the Data Center division, its revenues have increased by up to 10% compared to the same period of the previous year. In the desktop PC business, in addition, the company reflects earnings that are 30% higher compared to Q3 2020. The growth in the Internet of Things area stands out, with an increase in 54% compared to the third quarter of 2020.
