Chip buyers such as Apple, Microsoft, Alphabet, and chip manufacturers such as Intel formed a new lobbying group to pressure the US government to obtain subsidies for chip manufacturing.
The new group is called the Semiconductors in America Coalition (Semiconductors in America Coalition), and they require U.S. legislators to provide financial support for the “Chip Manufacturing Act.” Biden has asked Congress to provide $50 billion in funding for the bill.
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The Semiconductor Alliance stated in the letter: “Sufficient funding for the Chip Manufacturing Act can help the United States increase the necessary production capacity and build a more flexible supply chain. When we need it, we can ensure that key technologies exist in the United States.”
The shortage of chips has already affected car production. American automobile industry groups have already made demands to the US government, hoping that they will guarantee the supply of chips for automobile factories. But the US government is unwilling to pass legislation to transfer computer chips to cars because doing so will hurt other industries.
Amazon AWS, AT&T, Cisco, General Electric, Hewlett-Packard Enterprise, Verizon are also members of the new group. The Semiconductor Alliance believes that the government should not favor a single industry. They said: “When the industry is trying to correct the shortage of chips caused by the imbalance between supply and demand, the government should try its best not to interfere.”
Apple was also hit by chip shortages, but the injuries were not as serious as the auto industry. Last month, Apple said that due to chip shortages, it will lose $3-4 billion in revenue this quarter, but Apple’s revenue in the third fiscal quarter is expected to be as high as $72.9 billion, and the lost revenue is not high.
(Via)
