Chip shortage

Automotive Chip Shortage – The Other REASON Behind This Shortage

The automobile sector is looking for more of those old outdated chips, which are now older than cell phones. The average car has a dozen or more basic processors that are all designed to communicate with one another, as was the case in the 1980s, when these businesses initially moved away from relays.

Shortage in India

However, chip fab shops, or chip makers, are unwilling to invest in creating outdated chips. That would be a poor short-term investment.

The new method is similar to how Tesla accomplishes it – a single circuit board that does everything.

A single CPU handles everything, from broadcasting the turn signal “click” through the radio speakers to controlling the ABS brakes. With central computer programming, everything electronic may be changed.

The reason Tesla can continue to produce cars during the shortage is because it can replace a chip that is in short supply with another one and simply reprogram the central computer to the new characteristics.

Legacy automobile firms, on the other hand, are hesitant to spend in creating new circuit boards, and they also lack “in-house” knowledge of this new technology.

Chip shortage

Those manufacturers that cannot or will not transition will drop back or fail because the “central processor” design is cheaper to build, cheaper to modify, and can even provide full self-driving software.

Reference- Clean Technica, Inside EVs, Forbes, BBC, CNBC, Live Mint