RIYADH: Taiwan-based electronics company Hon Hai Precision Industry Co. said the chip shortage is easing, showing a promising first quarter.
The firm, which is known to be the world’s biggest assembler of Apple’s iPhones, is expecting a slight change in revenue in Q1 when compared to the corresponding period a year earlier, Bloomberg reported, citing James Wu a spokesman of the firm.
Shortages in component parts, specifically computer chips, have hindered electronics production for over a year.
Market players such as Taiwan Semiconductor Manufacturing Co. along with carmakers such as Ford Motor Co. have projected the chip crunch will remain tight throughout 2022 – mainly due to the spread of Omicron – and will bring about an ongoing impact.
Accordingly, corporations have been advised to keep additional inventories than usual to ease the pain of the chip supply shortage.
