Home » Business » Supply chains 'aggressively need' to be rebalanced: Intel CEO
Supply chains 'aggressively need' to be rebalanced: Intel CEO
US in ‘precarious time’ as it pertains to chip shortage: Intel CEO
Intel CEO Patrick Gelsinger urges Congress to ‘act now’ to boost investments in semiconductor chip manufacturing amid a global shortage.
Intel CEO Patrick Gelsinger stressed on Monday that supply chains "aggressively need" to be rebalanced and revealed when he believes there will be a "reasonable balance" to the global chip shortage.
Gelsinger provided the insight on "Mornings with Maria" on Monday speaking from the World Economic Forum in Switzerland amid the global semiconductor chip shortage, which revealed how reliant the United States is on critical components produced overseas.
Intel, the world’s largest chip-maker by revenue, is among the American businesses trying to reduce their dependence on foreign chip-making dominated by China and other regions of Asia.
Gelsinger revealed that he initially expected the semiconductor shortage to stabilize next year, but has since adjusted his forecast to 2024.
He noted that the recent COVID shutdowns in China changed his outlook.
INDIANA ECONOMY ‘HUMMING LIKE AN INDY CAR ENGINE’ THANKS TO GLOBAL MARKET INTEREST: GOV. HOLCOMB
"What we’ve seen in Shanghai was startling, that because of the COVID policies, we’ve seen the port shut down, [which] created this backlog of equipment to get through that’s even worsening some of the supply situations that we’ve had," Gelsinger said.
He then pointed out that the situation further highlights the "need" for more balanced supply chains.
"We don’t want anything going through any one port, whether U.S., European or Asian," the CEO said. "We need a geographically balanced resilient supply chain and last month’s activities in China reinforced that point so importantly."
"We’re not ever going to stop being in China, but we need balance across the world," he continued.
Gelsinger argued that the shortage "didn’t happen in the last couple years," but "was 30 years in the making."