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AMD forecasts chip shortage through 2023

TechnologyAMD forecasts chip shortage through 2023

Cyber Monday, which concludes the Black Friday deals and promotions, for those hoping to buy a new graphics card or console may have actually been a Blue Monday.

The reason? Statements on that subject from Mark Papermaster, AMD’s Chief Technology Officer and one of the most important people at the tech manufacturer that Lisa Su heads and that is responsible for supplying graphics cards and processors for computers… and also for creating the APUs (integrated graphics processors) in PlayStation 5 and Xbox X/S Series.

According to Papermaster, “We will see a supply slowdown in the second half of 2022 that will last until 2023. That’s when we project normalcy of balance between supply and demand.” In addition, Mark also points out that although we are facing a year of component shortages, in 2021 AMD has “projected 65% revenue growth over 2020”, something they have been able to achieve thanks to supply chain work, all this in the midst of rumors that AMD would begin to preferentially partner with Samsung when it comes to manufacturing chips because TSMC, its main partner until now, is giving Apple more privileges than the rest of the companies.

AMD’s CTO is not the only big name in the tech industry pointing out that supply problems will continue throughout 2022 and will not end in 2023 as its competitors, Intel and NVIDIA, also have similar forecasts in this regard.

First it was Intel CEO Pat Gelsinger who stated that his company was currently at its worst, although “every quarter next year we’ll gradually improve, but we’re not going to have a balance between supply and demand until 2023.”

NVIDIA CEO Jensen Huang said in an interview published by Yahoo on November 15 that demand would continue to outstrip supply through 2022 as they have no “magic solutions” in the supply chain, also pointing out that 2023 will finally be the year in which the industry will return to normal.


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