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Articles

Global Chip Shortages

July 17, 2021

Will Your Future Business Purchases Be Affected By These Shortages?

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As you know, this last year has been a real challenge for many industries, and few so publicly as the Semiconductor Manufacturing Industry, with its trickle-down impacts on the auto-industry and several others.

We are hearing from many of the vendors that provide key services in our industry that the issue is only going to get worse in the short to mid-term, and that those shortages may last much longer indeed.

Popular enterprise laptops, and the docks that have become popular to go with them, are challenging to find in stock. Server equipment options are starting to shrink, driving up the average cost of purchases by thousands.
Network hardware stocks are going through this same cycle, increasing in cost by the day, with vendors announcing global price increases.

The shortage is also having a ripple effect causing many shipment delays.Global-chip-shortages.png

If you have plans to add staff in the coming 6 – 18 months, or have a need to replace aging server hardware within that same timeframe, the lead times on those purchases getting delivered is going to start to unavoidably grow soon, and it likely that purchases will be met with the inability to fulfill.

There is a reason that automakers are in bidding wars for chip supplies, which results in the limitation of auto production.

Navigating Hardware Purchases During Shortages

Therefore, we are recommending a pair of changes to the “norm” until the chip shortage has eased.

  1. Please take into consideration the number of onboardings you intend to have in the next year and plan to pre-order machines to have on hand as soon as possible.
  2. If you have an aging server or network infrastructure replacement planned for any time in the next 9 months, we may recommend to pre-order that hardware in advance of the installation schedule.
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In Need Assistance During This Shortage?

If you need any help navigating this “new norm”, please reach out to us at ask@optistartech.com or contact us here. Optistar provides a strong bench of IT professionals headed by a vCIO that will be dedicated to keeping your business from hitting roadblocks like that which this chip shortage presents.

Be sure to check out our blog section to stay updated on cybersecurity and technology news!

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