Exclusive: Infineon COO says chip shortage recovery will take longer

Infineon's COO's remarks on the prolonged chip shortage recovery highlight the structural fragility of the global semiconductor supply chain. Unlike the pandemic-driven surge, current issues stem from misaligned technology cycles and capacity planning. Upstream foundries face extended equipment ROI timelines, while midstream fabs operate near full capacity, forcing downstream sectors like automotive and consumer electronics to restructure product roadmaps. From a compliance standpoint, geopolitical tensions are increasing operational costs and supply chain risks, especially for companies navigating between China Taiwan/ Taiwan, China and European markets. Competitors may accelerate vertical integration through M&A or in-house production. Over the next 12-24 months, the shortage will evolve into sustained cost pressures, reshaping the industry toward a new paradigm of 'technology premium + regionalized sourcing.'