The Saga of Semi-Conductors
As a frequent traveller, I have observed a gradual growth in the number of green license plates on roads. The two main reasons for the booming demand for EVs: they are less polluting, and cost-effective compared to normal vehicles.
To understand the EV manufacturing market, we need to first understand ‘semiconductors’.?Semiconductors are to an EV what the brain is to us, humans. They control everything under the hood of an EV from headlights, brakes, parking cameras, and more. Their constant evolution and extended battery life have helped enhance performance and drop the cost of EVs.
Due to the COVID-19 pandemic, there is a major shortage of these?semiconductor?chips. The Asian market, being the primary manufacturer of?semiconductors, went into a slowdown as companies tried to figure out how to function safely with a drastic reduction in demand. Due to this, long waits, and unscheduled handover dates have disrupted?semiconductor?supply chains.?
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In a world where it takes minutes to produce a smartphone and hours to produce a car, it takes more than four months to produce a?semiconductor?chip. Unfortunately, there are physical limits to the speed at which chips can be produced. Economic Times revealed in an article that the gap between the order date and delivery date of a?semiconductor?is 26 weeks in 2022.?
While we are slowly surpassing this roadblock, India has different plans altogether. Ashwini Vaishnaw, Union Minister for Railways, Communication and Electrics and Information Technology, Government of India, recently mentioned that India is on course to becoming a major?semiconductor?manufacturer in the next six years and will become the chip design capital of the world soon.?
?I believe that by paving the way for smooth manufacturing of these tiny chips, we can bring a change in the bigger picture of sustainability. Do you too believe that we are insuring a greener future??
Manager Human Resources at Rebel Foods (Formerly Faasos)
2 年Interesting! Thanks for sharing ??
Reinsurance professional
2 年Absolutely... It's an evolution towards greener earth. More automobile manufacturers are stepping into this world; at least finding an alternative to fossil fuels.