Title: What's causing the chip shortage affecting PS5, cars and more?
Headings: Why there’s a chip shortage that’s hurting everything from the PlayStation 5 to the Chevy Malibu
Why there’s a chip shortage that’s hurting everything from the PlayStation 5 to the Chevy Malibu
Key Points
A huge boom in electronics sales
Business shift to outsourcing slams factories
Trump’s trade war

Content: What's causing the chip shortage affecting PS5, cars and more? Tech
Why there’s a chip shortage that’s hurting everything from the PlayStation 5 to the Chevy Malibu
Published Wed, Feb 10 20214:35 PM EST Updated Wed, Feb 10 20219:34 PM EST
Kif Leswing @kifleswing
Share
Share Article via Facebook
Share Article via Twitter
Share Article via LinkedIn
Share Article via Email
Key Points
A chip shortage that started in a surge in demand for personal computers and other electronics for work or school from home during the pandemic now threatens to snarl car production around the world. Semiconductors are in short supply because of big demand for electronics, shifting business models which include outsourcing production, and effects from former President Donald Trump’s trade war. Chips are likely to remain in short supply in coming months as demand remains higher than ever. In this article
GM +0.14 (+0.25%)
A close up image of a CPU socket and motherboard laying on the table. Narumon Bowonkitwanchai | Moment | Getty Images
A chip shortage that started as consumers stocked up on personal computers and other electronics during the Covid-19 pandemic now threatens to snarl car production around the world. On Tuesday, GM said that it would extend production cuts in the U.S., Canada, and Mexico until the middle of March. They join a long list of major automakers, including Ford, Honda and Fiat Chrysler, which have warned investors or slowed vehicle production because of the chip shortage. But it’s not just the automotive industry that’s struggling to get enough semiconductors to build their products. AMD and Qualcomm, which sell chips to most of the top electronics firms, have noted the shortage in recent weeks.