Saturday, September 23, 2023

Global Chip Shortage Continues – Can Blockchain Help?

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Shreya Christina
Shreya has been with for 3 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider team, Shreya seeks to understand an audience before creating memorable, persuasive copy.

Shruthi Rao is the Co-Founder and Chief Business Officer at Vendia, a multi-cloud data sharing startup. She is the mother of 4 boys and 2 dogs.

With the global shortage of computer chips two year mark, industries across the board continue to struggle because of this. While the deficit is hurting companies in all sectors, some, such as the cars and Medical Device industries, the chip shortage has huge implications for producing products that people have come to rely on.

While the move to enlarge the US semiconductor manufacturing through the recently signed CHIPS and science law is a step in the right direction, I think that without solving the huge data sharing problems within the tech supply chain, the effort to increase chip production will fail.

At Vendia, we work with semiconductor foundries and their supply chain partners. We also partner with Amazon Web Services to jointly support customers in the chip manufacturing industry, so I’ve seen the data sharing issues in the industry myself.

From making the silicone wafer to chemical coating, to baking and packaging, the creation of each chip requires a specialized assembly line with many different parties involved. It requires rigorous measurements, inspections and tests before chips can be shipped and used. From what I have seen, there is often no easy way for all these parties and processes to communicate, and without clear communication between these many moving parts, there is little understanding of supply versus demand, further distorting an already confused system.

Some larger retailers have used blockchain to solve their supply chain problems, and as someone who has launched and developed blockchain solutions, including next generation blockchain tools, I think this can be replicated in the world of chip manufacturing.

Blockchain allows you to share data quickly and securely in a way that is also decentralized. While the potential for facilitating communication and tracking the supply chain between parties is huge, many of these initial attempts fail. Companies seem to be discovering that first-generation blockchain solutions can present a host of challenges in terms of data integration, scalability, and overall performance.

Next-generation blockchains have taken a different approach. Combining the trust and decentralization of first-generation blockchains with the speed, scale, and affordability of cloud computing, next-generation blockchains can share real-time data with anyone, in any cloud, at scale.

For leaders who want to use next-generation blockchain technology to fix Some of the current challenges of multi-party data sharing and communication in the chip industry, here are a few easy steps to get started:

• Start with visibility: Most chip manufacturers work together with many partners and experience a lack of insight into inventory, delivery forecasting and quality control. By solving the visibility problem with your closest and most forward-thinking suppliers, both parties can immediately see benefits. Once both parties see the value, there can be synchronicity on new or additional technical implementations.

• Document the wins: Within the chip industry there is a lot of discussion about: how technology can serve as a comprehensive remedy for problems, but unless you can demonstrate measurable ROI and demonstrate business value, it will be difficult to get other stakeholders on board for new investments. Once you start implementing or trying out new technology, document the gains so you can commit support and investments for other tools in the future.

• Simplify the technology: While there are a number of technology solutions available that can help chip manufacturers solve some of the current problems facing the industry, it is important to ensure that the solutions you implement work with your existing technology and flexibility between partners. enable. Any technology you work with should fit your current business practices and not require a complete overhaul of structures or teams.

When it comes to solving the global chip shortage, next-generation blockchain solutions have the potential to ensure that every party involved not only has real-time data on the chip’s location, status and quality, but also production and demand fulfillment. can understand better. This level of information can not only help with the chip shortage, but also ensure that the chips made are of high quality, so that the products and tools that people have come to rely on can continue to run smoothly. Business Council is the leading growth and networking organization for entrepreneurs and leaders. Am I eligible?

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