Intel Corp. Chief Executive Pat Gelsinger sees the global chip shortage potentially stretching into 2023 as the U.S. semiconductor industry scrambles to catch up with surging demand.
The world-wide shortage has fueled rising prices for some consumer gadgets. Meanwhile, the auto industry has been particularly hard-hit as the lack of a key component causes production delays.
It could take one or two years to get back to a reasonable supply-and-demand balance in the semiconductor industry, Mr. Gelsinger said in an interview after the company posted second-quarter earnings on Thursday. Supply shortages should start showing signs of easing later this year, he said.
“We have a long way to go yet,” he said. “It just takes a long time to build [manufacturing] capacity.”
Mr. Gelisnger has been on a fast track to revive the chip maker after several years of missteps. Since he rejoined Intel in February, Mr. Gelsinger has committed to establishing a contract chip-making operation, announced major factory expansions and lured back talent to restore the Silicon Valley icon’s technology prowess. The company also is in talks to potentially buy GlobalFoundries for around $30 billion, The Wall Street Journal has reported, in what would be its biggest-ever acquisition and a signal of how serious Mr. Gelsinger is in making Intel a merchant chip producer.
