All I know is this should not stop plans to bring advanced chip making back to the US.

Isn’t the current supply spike in regular pc chips? The is still a shortage on automotive chips and advanced chips.

Frankly chips just aren't worth as much when competition enters the market. Monopoly lifts prices. That's why companies do it.

Monopolist prices are also what opens the opportunity to upstarts. They get a leg up that they only have to be competitive to monopoly prices, not free market prices. That's the money they use to reach parity. Once parity is achieved all the industry players struggle to profit as margins plunge. And that's good for the consumer.

Oooh more TkTokking

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Cars are expensive because 'chip shortages'. Intel tanking because 'chip glut'.

Hmmm.

Is the glut related to the Chinese market being declared off-limits?

Why not both? Intel's type of chips might not be cars' type of chips.

They are definitely not the same.

Chip Glut: the inevitable result of claiming that there was a Chip Shortage.

I'm getting the feeling that these people don't know what they are doing.

/r/notliketheotherchips

A glut in consumer chips according to the article. Not the specialized ones in vehicles.

Automotive grade chips differ than commercial or industrial chips. The lack of PC sales have glutted the market. Companies like TI focused more of their Covid restart in the automotive market, Intel gambled on commercial. The testing of commercial and industrial chips isn’t as stringent.

Nobody has money to buy pc hardware right now unless you want to go into debt over it which is obviously stupid. The fake stimulus money is gone and we’re seeing record high inflation here in the United States. I fear things will only get much worse before we get better.

The mature market is actually 28nm/14nm chips, not high end CPU/GPU processors.

A lot of it is caused by the panic to ‘bring semiconductor manufacturing back home’ where fabs concentrate on sub 7nm while neglecting the rest of the chip market.

Can’t believe that comment got upvoted in r/technology of all places.

Oh wait, this is reddit

That and efforts to reshore chip manufacturing started by Trump.

With passage of the CHIPS Act it will only get worse for high end CPUs/GPUs.

Good for consumers tho!