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Chipmaker CEO thinks chip shortage will end only by 2023

STMicroelectronics is said to have been able to meet only 70 per cent of its total demand this year.

Jean-Marc Chery, Chief Executive Officer (CEO) of STMicroelectronics, stated in a recent interview that the ongoing global chip shortage will return to normal only by the first half of 2023.

According to a media report, Chery stated that the chip shortage situation which has been hindering production for various tech and automotive companies will start to improve gradually from 2022. The situation is expected to return to normal sometime by early 2023.

Chery went on to state that a 'normal situation' would mean regular chip inventory levels and average delays to replenish components. He added that due to the chip shortage, the average price of STMicro's chips has increased by 5 per cent over the past year.

STMicroelectronics is said to have been able to meet only 70 per cent of its total demand this year. However, Chery believes that this level would improve to about 85 to 90 per cent in the next year.

Source: Reuters

 
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