Semiconductor shortage to drive 50% of top 10 car makers to design their own chips by 2025 – The National

Semiconductor shortage to drive 50% of top 10 car makers to design their own chips by 2025 – The National

The global semiconductor shortage, sparked by the pandemic, will drive nearly 50 per cent of the top 10 carmakers to design and produce their own chips by 2025, according to a new report.

Supply chain disruptions, severe chip scarcity and trends such as electrification of vehicles and autonomy will propel automotive original equipment manufacturers (OEMs) to reduce their reliance on traditional chip makers. This will give carmakers more control over their product road map and supply chains, Connecticut-based technology research and consulting company Gartner said in its latest report.

“Automotive semiconductor supply chains are complex,” Gaurav Gupta, research vice president at Gartner, said.