Chief Marketing Officer Helmut Gassel said The bottlenecks will extend well into 2022 and could even last until the end of the year. To make matters worse demand is continuously high due to the global push towards digitalisation. Gassel said that there hand been no order cancellations.
Meanwhile Samsung and Micron warned that strict COVID-19 curbs in the Chinese city of Xian could disrupt their chip manufacturing bases in the area.
The lockdown in the city puts further pressure on global supply chains and adds to a torturous year for exporters facing sharply higher freight costs even as prices for raw materials including semiconductors skyrocket amid the two-year long pandemic.
The curbs could cause delays in the supply of DRAM memory chips, widely used in data centres, Micron said on Wednesday.
The stringent restrictions, which went into effect earlier this month, may be increasingly difficult to mitigate and have resulted in thinner staffing levels at the manufacturing site, Micron added.
Samsung Electronics said it would temporarily adjust operations at its Xian manufacturing facilities for NAND flash memory chips, used for data storage in data centres, smartphones and other tech gadgets.
Samsung's Xian semiconductor facility is currently operating normally. Analysis provider TrendForce also said Samsung's Xian plant is manufacturing without significant disruptions for now and supply of raw materials seems sufficient, but there may be a slight decline in output if the pandemic is not controlled.