South Korean chipmaker Samsung Electronics has warned that a rush by foundries to meet automakers’ demand is limiting their ability to accept new orders, which could affect deliveries of smartphones and tablets.
Chipmakers are currently rushing to meet automakers’ demand, and many chip foundries are operating at full capacity, according to Samsung.
Samsung is also considering an urgent expansion of automotive chip production capacity.
Samsung had record foundry revenue in the fourth quarter of last year due to strong demand for 5G technology and high-performance computing chips. The company's semiconductor business is expected to continue climbing in 2021 as chip prices continue to climb.
TSMC is making it a priority to address the chip supply challenges affecting the automotive industry and is ramping up the production of these products through its fabs.
The current global automotive chip supply is tight, with many automakers such as Volkswagen, Toyota and Ford affected, and some are already adjusting production.
