The chip shortage is TI's fault!

[SilverSolder]

Why is it that only the automotive industry is having this problem? I smell the stench of politics in this whole matter...

The explanations we are hearing simply don't pass the basic smell test.

When the two elephants in the room are having trouble playing nice (USA & China), everyone else gets trampled as well...

[Cerebus]

Why is it that only the automotive industry is having this problem? I smell the stench of politics in this whole matter...

It's not just automotive. I've been waiting since April for Keysight to make my giveaway scope from Dave's raffle, they have had supply problems across the board according to Daniel at Keysight. Anyone who has tried to buy STM32 processors this year has had problems and those most definitely are not an automotive only item. I've had problems getting hold of all sorts of parts and ironically I've often had to upgrade to automotive qualified parts rather than 'vanilla' parts of the same values and ratings to find parts with stock available. So, not just automotive, it's across the board

[tszaboo]

The aforementioned Taiwan-based sources say Texas Instruments' inability to ramp up production capacity is the fundamental problem underpinning everything else.

No. The fundamental problem is everybody wanting to buy more chips.  TI’s alleged inability to increase production is a factor in the problem, but the shortage is caused by people trying to buy more than is available.

I simply don't get that...  Many (most?) companies are blaming chip shortages for their sales being down - but if their sales are down...  who's using the chips?

The issue, is, if you can buy 99% of the BOM, than you will start hoarding 99% of the BOM lines, and you still cannot ship a product, because it is missing parts of the circuit, which is needed it to work. Imagine a PC motherboard, which doesn't have power supply for the BIOS chip.
I don't think we can single out TI as the only culprit, but I imagine, TI being problematic for many companies now. It is for me.

[Cerebus]

I don't think we can single out TI as the only culprit, but I imagine, TI being problematic for many companies now. It is for me.

I've had issues with digital and linear semiconductor parts from ST, Lattice, Analog, SMD 1N4148 diodes from anyone and passives from just about everybody; and that's just in the last three months. So far the only product category that hasn't given me any problems is 74 series SSI logic. Again ironically, I've had some success switching to TI analogue parts from Analog ones that I couldn't get (e.g. LT1363 -> LM7171).

I've only been looking for parts in prototyping/R&D quantities so I'm relatively lucky - I just need handfuls and can accept increased prices with little consequences. It still means that I've cut back on things and bought cut tape for parts that I'd normally buy reels of - I'm not spending £69 (£0.023 each) for a reel of surface mount 1N4148 equivalents. The fact that I can get a reel of through hole 1N4148s for £22 (£0.011 each) for which there isn't much demand and there are still decent stocks available is proof that there are real problems. I feel sorry for anyone trying to buy existing BOMs in production quantities at the moment, it must be hell and a lot of people will be worrying what happens to their jobs if they can't get product out of the door.

If people want to look for a conspiracy - and from the messages here some seem to want to - why did that originally cited article single out TI and not the dozen other big vendors with supply issues? Was someone trying to manipulate share prices? Singling out a vendor for bad press could be a prelude to short selling. It has at least as much credibility as hand waving claims of "politics" where trashing supply chains and a significant slice of the world's economy to make political capital seems rather self defeating - not that politicians are beyond cutting of their noses to spite their faces.

[tszaboo]

I don't think we can single out TI as the only culprit, but I imagine, TI being problematic for many companies now. It is for me.

I've had issues with digital and linear semiconductor parts from ST, Lattice, Analog, SMD 1N4148 diodes from anyone and passives from just about everybody; and that's just in the last three months. So far the only product category that hasn't given me any problems is 74 series SSI logic. Again ironically, I've had some success switching to TI analogue parts from Analog ones that I couldn't get (e.g. LT1363 -> LM7171).

I've only been looking for parts in prototyping/R&D quantities so I'm relatively lucky - I just need handfuls and can accept increased prices with little consequences. It still means that I've cut back on things and bought cut tape for parts that I'd normally buy reels of - I'm not spending £69 (£0.023 each) for a reel of surface mount 1N4148 equivalents. The fact that I can get a reel of through hole 1N4148s for £22 (£0.011 each) for which there isn't much demand and there are still decent stocks available is proof that there are real problems. I feel sorry for anyone trying to buy existing BOMs in production quantities at the moment, it must be hell and a lot of people will be worrying what happens to their jobs if they can't get product out of the door.

If people want to look for a conspiracy - and from the messages here some seem to want to - why did that originally cited article single out TI and not the dozen other big vendors with supply issues? Was someone trying to manipulate share prices? Singling out a vendor for bad press could be a prelude to short selling. It has at least as much credibility as hand waving claims of "politics" where trashing supply chains and a significant slice of the world's economy to make political capital seems rather self defeating - not that politicians are beyond cutting of their noses to spite their faces.

From what I just heard, TI is not on good terms with their vendors, and they are rather just uploading the parts into their webshop, which is in turn bought by Chinese hoarders. It starts to check out. I told my boss, there isn't actually a supply issue, as there are ~30K in stock from the parts that we need, but all of them is at winsource electronics and other shady scalpels in china. I asked TI, if I can reserve the parts - no, they will be in the webshop "sometime next month". I asked Arrow, if they can reserve the parts - Yes, December 2024. In the mean this is one way to sell parts, but I would rather have them at 2-3x their regular price from TI, than 30x the price from some shitty scammer with lots of money and questionable business practices from China.

[NorthGuy]

... there are ~30K in stock from the parts that we need, but all of them is at winsource electronics

I don't think Winsource have any stock. After you place an order, they will just buy it for you. Or, if they can't, they will cancel your order.

[tszaboo]

... there are ~30K in stock from the parts that we need, but all of them is at winsource electronics

I don't think Winsource have any stock. After you place an order, they will just buy it for you. Or, if they can't, they will cancel your order.

We asked for photo of the reel. But yeah, some of those suppliers on octopart will list each other's stock.

[NorthGuy]

... there are ~30K in stock from the parts that we need, but all of them is at winsource electronics

I don't think Winsource have any stock. After you place an order, they will just buy it for you. Or, if they can't, they will cancel your order.

We asked for photo of the reel. But yeah, some of those suppliers on octopart will list each other's stock.

... and share photos of the same reel

[rsjsouza]

The national media reported this rather breathlessly, making a mountain out of a molehill, and failing to stress both the limited area and the limited number of stations involved. (...)

This. This is another powerful fuel for the various crisis that we have been living. Case in point: the poorly written article that is the subject of this thread.

[Cerebus]

The national media reported this rather breathlessly, making a mountain out of a molehill, and failing to stress both the limited area and the limited number of stations involved. (...)

This. This is another powerful fuel for the various crisis that we have been living. Case in point: the poorly written article that is the subject of this thread.

Back when we had 15 minutes of TV news two or three times every day, and similar on Radio this wasn't a problem. "Several petrol stations in a small part of the country close temporarily. Supplier confirms that there are adequate national supplies of petrol and it's just down to a local driver shortage." wouldn't make it to the national news. Now that the TV news has 24 hours a day to fill, every day,  stuff that was once too trivial to report except in the local newspaper gets national coverage. Add web coverage, clickbait headlines and 'engagement' as the metric of choice and you've a recipe for trouble.

[MK14]

This. This is another powerful fuel for the various crisis that we have been living. Case in point: the poorly written article that is the subject of this thread.

If you check their source, it also has articles, which contradict, the report. I can't read their sources reports (apart from tiny summaries), because it seems to be pay-walled.

A few weeks, before, they were saying:

Will foundry expansions lead to capacity glut?

Many IDMs and pure-play foundries, including second-tier ones, are all poised to expand their fab capacities sparking concerns that the arrival of the additional capacities could result in a glut of processed wafers.

https://www.digitimes.com/news/a20211007PD212.html

Also, TI was saying, in another of their reports, around one week after blaming TI for shortages:

TI to kick off new 12-inch fabs construction in 2022

Texas Instruments (TI) has announced plans to begin construction next year on its new 300-millimeter semiconductor wafer fabs in Sherman, Texas.

https://www.digitimes.com/news/a20211118PR200.html

So, maybe there is something fishy about the OP's original article and/or who is really saying stuff, how reliable are their opinions, and especially what are the motivations for the article(s).
E.g. If it is because of

The premium content you are trying to open requires News database subscription. Please sign in if you wish to continue.

then it could be just clickbait.
Also, does anyone want to harm TI and/or hurt their planned expansion plans ?

I'd prefer it, if the information, came from reliable, trustworthy sources, who are not going to gain or lose, significant financial amounts. When reporting the (none opinionated) truth.

[thm_w]

From what I just heard, TI is not on good terms with their vendors, and they are rather just uploading the parts into their webshop, which is in turn bought by Chinese hoarders. It starts to check out. I told my boss, there isn't actually a supply issue, as there are ~30K in stock from the parts that we need, but all of them is at winsource electronics and other shady scalpels in china. I asked TI, if I can reserve the parts - no, they will be in the webshop "sometime next month". I asked Arrow, if they can reserve the parts - Yes, December 2024. In the mean this is one way to sell parts, but I would rather have them at 2-3x their regular price from TI, than 30x the price from some shitty scammer with lots of money and questionable business practices from China.

What is the specific part? 30k may be a lot or it may be nothing in terms of volume.

If you are supply chain then set up a script to poll the webshop and alert you immediately when it becomes available. Or better a fully automated purchase script. Check taobao too. Get on the phone with TI. etc.
If you are not in supply chain, its not your problem to worry about.

Winsource is a known scammer, but a lot of these shops are simply buying up old stock, production overrun, cancelled runs, etc. Stuff that was near worthless 2 years ago.

[48X24X48X]

It took me a while to shift my next course of action when the parts shortage kicks in. Initially, I was swapping in and out parts in the design but soon enough I have realized that you will never be able to have complete BOM unless you have the purchasing power to stack up everything. That is when I decided that maybe this is the best time to slow down and reflect (have been running my business non-stop for 11 years). Rather than complaining why company A is not ramping the IC production or why scalper is adding few thousand percent increment of part price, I think we all need to understand that while we all are bitching about all that, there are many that lost their lives while making the chips for us to use to make money in your business. As a Malaysian, we have some of the factory that makes IC like STM and Maxim and these factories weren't close at all despite the Covid was raging through the country and killing so many people. Read on the link here to understand why I think we need to pause whatever you are doing a bit for now and let the situation get better.

[tszaboo]

From what I just heard, TI is not on good terms with their vendors, and they are rather just uploading the parts into their webshop, which is in turn bought by Chinese hoarders. It starts to check out. I told my boss, there isn't actually a supply issue, as there are ~30K in stock from the parts that we need, but all of them is at winsource electronics and other shady scalpels in china. I asked TI, if I can reserve the parts - no, they will be in the webshop "sometime next month". I asked Arrow, if they can reserve the parts - Yes, December 2024. In the mean this is one way to sell parts, but I would rather have them at 2-3x their regular price from TI, than 30x the price from some shitty scammer with lots of money and questionable business practices from China.

What is the specific part? 30k may be a lot or it may be nothing in terms of volume.

If you are supply chain then set up a script to poll the webshop and alert you immediately when it becomes available. Or better a fully automated purchase script. Check taobao too. Get on the phone with TI. etc.
If you are not in supply chain, its not your problem to worry about.

Winsource is a known scammer, but a lot of these shops are simply buying up old stock, production overrun, cancelled runs, etc. Stuff that was near worthless 2 years ago.

I'm not, but upper management is making it my problem with "you have to redesign ASAP because we only could buy this instead of this" projects.
I think we botted TI's website. It is supposed to be someone else's problem. Especially, that 2 years ago the message was: "we have too much value in our stock, let's switch to just-in-time". Not great timing.