Over the last few months, the global chip shortage has been worsening. Chips are essentially the “brain” that exists in every electronic device and without them, electronic products cannot be produced.
The problem started at the beginning of the COVID-19 pandemic. Chip factories across the globe had to close as most other businesses did. This created a backlog of a few months where no chips were being produced. However, the problem got dramatically worse as demand increased to an all-time high because of several different factors. The need for new technology as people began working from home, the release of the next generation of games consoles, and the boom in the electric vehicle market all pushed the need for microchips to heights never before seen. This problem is forecast to persist until at least mid-2022.