Technology

The Jumbled Dream of U.S. Chips

The global shortage of computer chips is in cars, computers and even Dog washing machine.. But now there are signs of a chip shortage — a small part of every electronic device that acts like the brain and memory — is ending.

This may be just some of the good news for our budget. It’s also a daunting moment for the Biden administration and US lawmakers who have sought taxpayer funding for computer chips with many goals, including mitigating shortages.

Some of those goals are rational. However, it seemed suspicious to wield government funds to fill the tip shortage. Now it looks like a mistake. Let’s talk about the reason:

Why is the tip important again?

Computer chips are required for smartphones, video game consoles, and other home appliances. It is also used in fighters. Car ignition, braking and entertainment systems. Track the milk yield of dairy cows.

As my colleague Don Clark explained last year, it’s no wonder there is a temporary shortage of chips. Unusual in the last few years, the combination of pandemic-related turmoil and our overwhelming desire to buy more has led to a variety of shortages.

Has it changed?

Computer chips seem to be suddenly abundant in the last few weeks.Some computer chip companies warning Their sales are From hot to cold..Unused chips Stacked in KoreaA major manufacturing hub and the fastest speed in a few years.

The big reason is that people around the world don’t buy electronic devices such as laptops, smartphones and TVs as much as they did a year or two ago. Many are worried and restrained by rising prices and economic health. As a result, companies are reducing orders for computer chips that should be included in many products.

This is the way the economy and computer chips tend to work. When people feel good and spend a lot, chip factories stand up to pave the way for more. In most cases, they are overproduced and have too many chips. Some experts say that a pandemic mania is followed by a tip bust. We aren’t there yet, but we’ll see.

What does the Biden administration have to do with it?

I previously wrote about Washington’s consensus on putting US government support behind US chip factories and expertise. Congress has discussed the details of spending more than $ 50 billion on taxpayer money to do so — and is still discussing — Most of the world’s most advanced chips are made in Asia, especially Taiwan and South Korea.

One of the funding goals is to mitigate the tip shortage. and now? Nothing has passed and the shortage of some types of chips is over.

There are good reasons for US taxpayers to subsidize the tip industry. Many experts cite the importance of building advanced chip manufacturing knowledge in the United States. It’s not great that Taiwan produces so many important chips within the potential impact of China. The US military wants to make sure that their supply is scrutinized uninterrupted. (There is a US chip factory that specializes in this.)

However, the mission of the American chip plan is inconsistent.U.S. officials and industry have a laundry list of profits from U.S. chip funding, including making it easier for U.S. industry to create more U.S. jobs and compete with China. Sold Automakers, etc. To keep stirring their products.

The last one, to be honest, didn’t make much sense. The harsh truth is that cars have to compete for space on the chip factory line with more profitable chips for smartphones and other luxury gear. Even if more computer chips are manufactured in the United States, there is no reason why the chips manufactured in Texas will only be on the Ford F-150 and not on the trucks of European and Asian companies.

The more justification the government squeezes into chip plans, the less clear it is what the United States is trying to achieve.

OnTech Details on Computer Chips:

  • Twitter sues Indian government: My colleague Karan Deep Singh reported that the company has removed some tweets stating that India violates national law and is opposed to an order to block accounts. This is the latest confrontation between American Internet companies and the world’s largest democracy, beyond the proper scope of free speech.

  • This could be one of the biggest personal data breaches known in China. Hackers are selling a Shanghai police database that may contain information about a billion Chinese citizens, my colleagues John Liu and Paul Mozur reported.

  • When a religious pilgrimage website fails: Saudi Arabia has gathered Westerners on a single government-approved website to book a trip to the Islamic sanctuary of Mecca.Washington post report The technical flaws made it impossible for thousands of people to make a pilgrimage to Mecca. (A subscription may be required.)

Wow, this is What a tiny turkey looks like..


We want to hear from you. What do you think of this newsletter and what else do you want us to explore?You can reach us ontech@nytimes.com.

If you haven’t already put this newsletter in your inbox, Please sign up here..You can read again Past OnTech column..

Related Articles

Back to top button