Chipmakers Betting Demand Will Maintain When Capacity Added: Willy Shih

The video discusses the impact of chip shortages on various industries and explores potential mitigation strategies, including production reallocation and capacity expansion. It highlights the challenges of stockpiling and the balance between supply and demand. The focus is on US manufacturing and competition, with key players like Intel and Texas Instruments. The video also examines sector prioritization and market dynamics, emphasizing the need for strategic customer allocation and prepayment to ensure capacity.

What is one of the main reasons for the current chip shortages?

• Increased production capacity

• Decrease in consumer demand

• Reallocation of production priorities

• Excessive supply of chips

Which company announced a $1 billion expansion to build a new fab?

• Samsung

• Global Foundries

• Intel

• Texas Instruments

What is a major factor driving the anticipated increase in chip demand?

• Reduction in automotive production

• Electrification

• Decrease in electronic devices

• Decline in consumer electronics

Which segment does Texas Instruments primarily operate in?

• Digital signal processing

• Analog and mixed signal

• Memory chips

• Graphics processing units

What is a key challenge for the US chip industry in terms of capacity?

• Achieving leading-edge capacity

• Decreasing competition

• Reducing production costs

• Increasing the number of fabs

How do companies like TSMC decide on chip capacity allocation?

• Based on customer size and demand forecasts

• Random selection

• Equal distribution among all customers

• First-come, first-served basis

What strategy are companies using to ensure assured chip capacity?

• Offering discounts

• Requiring prepayments

• Increasing production speed

• Reducing chip prices