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Michael Dell Says Chip Shortages Will Probably Last for Years

Dell has paid a premium to secure supplies and the biggest problem is the "one-dollar range" components.

 & Matthew Humphries Former Senior Editor

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Many manufacturers and consumers have been hit by the ongoing shortage of semiconductors that coincided with the coronavirus pandemic. We're all hoping it doesn't last much longer, but Micheal Dell has some bad news, he believes the shortages will last for years to come.

As founder, chairman, and CEO of Dell Technologies, Michael Dell is both one of the most important customers of the semiconductor industry and one of the best placed to comment on the supply chain. As Reuters reports, when Dell recently spoke to German newspaper Handelsblatt he said, "The shortage will probably continue for a few years ... Even if chip factories are built all over the world it takes time."

What it may surprise many to hear is, it isn't the new components that are a biggest problem, it's the older components and the cheaper ones proving the hardest to source. "We are talking, in particular, about components that are in the one-dollar range and are used practically everywhere," he said. "But even newer technologies are not easy to come by."

That makes sense, as while we all talk about the processor, memory, and storage options on desktop PCs and laptops, each one also contains hundreds of small, cheap components as well, and they are all essential to shipping a working product. So look after that PC you're currently relying on, it may need to be your workhorse for a few more years yet.

About Our Expert

Matthew Humphries

Matthew Humphries

Former Senior Editor

My Experience

I started working at PCMag in November 2016, covering all areas of technology and video game news. Before that I spent nearly 15 years working at Geek.com as a writer and editor. I also spent the first six years after leaving university as a professional game designer working with Disney, Games Workshop, 20th Century Fox, and Vivendi.

I hold two degrees: a Bachelor's degree in Computer Science and a Master's degree in Games Development. My first book, Make Your Own Pixel Art, is available from all good book shops.

My Areas of Expertise

  • PC components and system building
  • Raspberry Pi
  • Software development
  • Storage technology
  • Video games and gaming hardware

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