CNBC recently sat down with Pat Gelsinger, CEO of Intel, when the topic of the continuing chip shortage that has plagued the industry for several years since the pandemic.

Intel CEO assures his company is better prepared than others during the consistent chip shortage

Gelsinger and other well noted CEOs, such as Dr. Lisa Su and Jensen Huang of AMD and NVIDIA, have estimated when the shortage will end. Initially, the three companies anticipated that the deficit would be over later this year. However, with resources being sparse and other pitstops during this time, that time frame has changed. Now, Gelsinger is quoted as stating that 2024 will be the year that the chip shortage will end.

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The drawback of the current shortage situation is not a lack of materials but equipment used to manufacture semiconductor chips. This new development drives Gelsinger to change his current thoughts on the shortages.

That’s part of the reason that we believe the overall semiconductor shortage will now drift into 2024, from our earlier estimates in 2023, just because the shortages have now hit equipment and some of those factory ramps will be more challenged.

Pat Gelsinger, Intel CEO to CNBC

Gelsinger’s time as Intel’s Chief Executing Officer has been advantageous for the company. Intel has been quoted on several occasions about the company’s foundry plans. Gelsinger and Intel have created new fabrication factories in the United States and researched potential recent locations for their factory and services worldwide to assist in manufacturing fresh chips and discoveries. Intel has placed itself in a better position with these strategies than other companies, as long as components and capacities from third-party partners continue to increase.

We feel like we’re better positioned than most. The combination of our internal capacity as well as our leverage of foundries — we’re just better positioned, and that’s part of the structural advantage that Intel has.

Pat Gelsinger, Intel CEO to Bloomberg

AMD and NVIDIA have yet to give newer predictions of when the chip shortages will end and business can return to normal. It is speculated that we will hear from the other two CEOs about their current predictions for the coming few years in the coming months.

Source: CNBCBloomberg