Why is there a semiconductor shortage? Global chip stocks plunge under soaring demand

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Why is there a semiconductor shortage? Global chip stocks plunge under soaring demand

This refers to the diameter of the circular silicon wafer that gets split into lots of tiny chips.Larger wafers are more expensive and tend to be u

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This refers to the diameter of the circular silicon wafer that gets split into lots of tiny chips.

Larger wafers are more expensive and tend to be used for more advanced devices.

However, there’s been a boom in demand for lower cost chips, which are embedded in an ever-growing diversity of consumer products, meaning the older, 200mm technology is more sought after than ever.

In fact, back in February 2020, industry news site Semiconductor Engineering highlighted the risk of a chip shortage, partly due to a lack of 200mm manufacturing equipment.



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