News & Events

The world desperately wants more microchips

Many companies have tried and failed to make microchips in India. Undeterred, Vedanta seeks a partnership with Foxconn to make chips in India. In Taiwan, Compal and Inventec are failing to ship their products on time because they cannot source components on time. Supply chain disruptions are plaguing just about everyone, including power management IC makers, who are struggling to manage their inventories while serving their customers.

Foxconn Technology Group (Hon Hai) has disclosed it has signed an MoU with Vedanta to form a joint venture to manufacture "Make-in-India" chips.
It is not clear whether this chip project will succeed, in a business environment where many previous attempts have failed.

Notebook ODMs Compal Electronics and Inventec saw both sequential and on-year falls in their January shipments,
due mainly to shortages of chips and components, particularly power management ICs (PMICs), USB controllers, and Wi-Fi chipsets.

Power management (PWM) IC companies are struggling with high costs and limited 8-inch fab capacity. Only a few Taiwan-based PWM IC companies are willing to transition to 12-inch wafer manufacturing because the high prices would scare off potential customers.