Analog chips, which employ older technology and process information using gradations as opposed to digital chips, which merely distinguish between on and off signals, are particularly problematic. Other Japanese automakers’ executives have stated that they are having trouble finding enough vintage chips.
Numerous analog semiconductors are used in cars to control things like how much electricity is extracted from the battery, but much recent funding has gone into creating more sophisticated processors.
Although manufacturers are attempting to squeeze out an additional output of the legacy chips, a McKinsey & Co. analysis in October stated that it is unlikely that they will be able to meet demand through 2026. According to McKinsey, this is partially attributable to the advent of hybrid and electric cars, which are increasingly dependent on chips.
STMicroelectronics NV, one of the largest manufacturers of analog chips, declared late last month that its backlog of automotive orders will continue to exceed existing and anticipated manufacturing capacity through 2023.
