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The chip shortage is here to stay. Those margins are too good to let go. Why keep inventory when you can keep a wait-list.
by zargon 4y ago
The chip shortage is here to stay. Those margins are too good to let go. Why keep inventory when you can keep a wait-list.
- makapuf 4y agoThats a dangerous game to play too lomg when China will happily provide older nodes capacity and make people switch to different lines of product, buyers might not be coming back...
- jimmySixDOF 4y ago"Your margin is my opportunity" -Jeff Bezos
- locallost 4y agoBecause somebody else then has an incentive to move into the market, increase production, and get the prices down. If that doesn't happen, then the market economy we supposedly live in is broken. And that would be a bigger problem than chip shortages.
- rusk 4y ago> If that doesn't happen, then the market economy we supposedly live in is broken. Well imagine that
- FrustratedMonky 4y agoIt isn't broken, its just that the market economy doesn't really behave like free market fan boys would like to believe.
- prmoustache 4y agoWe should not call shortage what is just prioritization.
- solarkraft 4y agoWhy does the prioritization happen?
- beebeepka 4y agoBecause they can. This industry cycles between both states fairly often. Fabs lower output, then ramp up all the time.