Micron CEO says chip shortage improving, but could last into 2023

Micron committing $150B to global chip production

Micron Technology CEO Sanjay Mehrotra unveils the company’s plan to meet chip demand.

The semiconductor shortage that has impacted many industries could continue into next year.

That's what Sanjay Mehrotra, president and CEO of Micron Technology, told FOX Business on Thursday.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Mehrotra attended a White House meeting with President Biden on supply chains and competition.

Micron CEO Sanjay Mehrotra  (FOX Business)

"There are parts of the chip shortage that will continue to improve as we go through calendar year 2022 and some parts of this will continue into 2023 as well," Mehrotra said. "Of course, Micron continues to make the necessary investments to meet the demand growth that our customers are bringing to us."

He cited the automobile industry as having a lot at stake.

MICRON CEO WARNS SUPPLY CHAIN SHORTAGES COULD CONTINUE INTO 2023

"As they become increasingly autonomous, they are actually becoming like data centers on wheels, right? I mean, they have as much memory and storage in them," Mehrotra said.

The Micron CEO said Asian countries have supported their industries in recent years and that a partnership between government and the private sector would be key to the U.S. being a leader in the chip sector.

TickerSecurityLastChangeChange %
MUMICRON TECHNOLOGY INC.75.72-3.72-4.68%

Indiana Gov. Eric Holcomb, a Republican, also attended the meeting. 

"We've got to get this thing passed through Congress, come to some agreement, pass it, get it on the president's desk sign and then get at the business of not just catching up with the competition around the world, but passing them up and taking a leadership position," Holcomb said.

The coronavirus pandemic put added pressure on the semiconductor industry as more people worked remotely from home.

"All of that has driven demand from data center to the PCs to smartphone intelligent devices at the edge," Mehrotra said. "All of these have driven the demand of Micron has been investing for considerable period of time in leading with advanced technologies and bringing them into high-volume productions".

CLICK HERE TO READ MORE ON FOX BUSINESS

Mehrotra told FOX Business in October that Micron would invest more than $150 billion globally over the next decade in memory manufacturing, research and development.

Source: Read Full Article