Chip Shortages Continue for Mature Nodes – Impacting Multiple Industries

The global chip industry is facing persistent shortages, with mature nodes experiencing a particularly severe crunch. These older technology nodes are vital for producing chips used in diverse industries, resulting in significant disruptions across the board.
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The ongoing chip shortages are expected to persist for the foreseeable future, especially affecting critical devices manufactured in mature process nodes. While leading-edge chips grab most of the attention, chips produced at mature nodes are vital components used in numerous electronic devices, including appliances, cars, computers, industrial equipment, smartphones, and TVs. The shortage has impacted various industries, hampering shipments of cars, PCs, smartphones, and other products, with the situation projected to last until at least mid-next year.

Reasons for Chip Shortages:

The chip industry is experiencing a boom cycle, with demand far exceeding supply. Additionally, the production capacity for both 200mm and 300mm fabs has been tight for several years, exacerbating the shortage. Foundries in Taiwan are sold out of capacity until at least mid-2022, leaving chipmakers with limited options to meet the increasing demand.

Challenges Across Various Chip Types:

Several chip types are facing shortages, including CMOS image sensors, display driver ICs, flash memory controllers, microcontrollers (MCUs), power MOSFETs, and power management ICs (PMICs). The shortages also extend to select leading-edge chips like memories and processors.

MCU Shortages:

Microcontrollers, used in appliances, cars, communication equipment, and industrial products, are among the most affected components. Demand for MCUs has been robust, and shortages have led to a significant increase in their average selling prices (ASPs). The supply of 32-bit MCUs, in particular, has been extremely tight.

PMIC and DDIC Shortages:

Power management ICs (PMICs) and display driver ICs (DDICs) are also experiencing tight supply conditions. PMICs play a critical role in managing power in systems like smartphones and PCs, while DDICs are essential for powering up flat-panel displays used in various applications. Shortages of these components have impacted shipments of select products.

Image Sensor Boom:

CMOS image sensors, which provide camera functionality for devices like smartphones, cars, and industrial systems, are also facing a shortfall. Demand for high-resolution sensors with smaller pixels continues to rise, further straining the already limited supply of image sensors.


The current chip shortages are impacting multiple industries, causing challenges for various chip types, especially those manufactured in mature process nodes. The industry is working to increase manufacturing capacity with the construction of new fabs, but the shortages are expected to persist until at least mid-next year. With robust demand and limited supply, the situation highlights the need for more efficient and proactive management of the semiconductor supply chain.

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