Chip Shortages Cause Challenges for IT Supply Chain

Chip Shortages Cause Challenges for IT Supply Chain

If you’ve noticed it’s been more difficult than usual to get your hands on the IT parts you need, you’re not the only one. Growing demand and manufacturing hiccups seem to be to blame for the significant and growing strain on IT supply chains and forecasts indicate these issues could increase well into 2021.

CPUs, GPUs and memory chips from tech giants like AMD, NVIDIA, and Intel have all announced recent shortages for their popular components that could challenge organizations into 2021. Add to this existing chaos the implications of COVID-19 and it’s easy to see why manufacturers are having such a difficult time getting their technology products to market. Technology leaders point to a core shortage of the chemicals needed to manufacture key technology components, including memory chips as the real issue, in addition to a growing over-ordering out of an abundance of caution in uncertain times. “A lot of companies are over-ordering because of a concern of availability of parts. Once you have the illusion of short supply, everyone orders more.” (“You’re not imagining things, there is a serious chip shortage”, NetworkWorld).

So what does the current chip shortage mean for companies looking to purchase AI and HPC solutions within the year? It means that many organizations should look at the purchase cycle realistically. It’s important for those in the market for new technology solutions to see the reality that AI and HPC component delays will likely result in pushed back delivery timeframes. This means if you have a business objective that requires an upgrade of computing power, the quicker you act, the better. Meet with vendors and discuss your computing needs so that you can get ahold of the high performance computing solutions you need with minimal wait times.

At PSSC Labs, we’re always available to discuss your unique business objectives to make sure you get the perfect, custom solution for your work. If you have questions about our solutions or how we can help you, please reach out to us anytime at [email protected] or give us at call at 949-380-7288.

  • Designed and engineered in California. Sold and supported worldwide.

    We are honored to work with the world’s most innovative companies solving the problems that will shape tomorrow.  Please connect with us to see how we can engineer a solution just for you.