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21 Apr 2022 15:34
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The electronics of washing machines began to disperse into “spare parts” and be used in electronic components of other devices. Manufacturers are buying them up en masse in an effort to somehow cope with the shortage of semiconductors.
Microchips need to be shared
Washing machines began to be used as donors of various kinds of microcircuits, which then receive a second life in new devices, writes Bloomberg. According to the publication, a large industrial conglomerate began to massively buy up old washing machines and “gut” them in order to extract chips that have become a real shortage due to the coronavirus pandemic. The name of the conglomerate remains unknown.
This information was confirmed by the chief executive officer of the Dutch company ASML Holding NV Peter Wennink (Peter Wennink), also without declassifying the authors of such an original method of “silicon mining”. ASML Holding NV is the largest vendor of lithographic equipment used in the chip industry in the Netherlands.
A broken washing machine, taken to the garage or to the country house, is now the most valuable source of scarce silicon
Wennink said he was told about the transformation of washing machines into chip donors by the head of this unnamed conglomerate. Wennink believes that such extreme measures indicate only one thing – the shortage of semiconductors will not soon be replaced by a surplus, at least in some industries where their shortage is most felt.
From one deficiency to another
At the time of publication of the material, it was not known for certain why the mysterious conglomerate turned its attention to washing machines, while electronics, including microcircuits, are present in large numbers in other devices. Bloomberg does not specify which cars are suitable for bulk purchases – new or used. If new, then the manufacturer’s interest in them, in theory, can lead to their shortage on the world market and, as a result, to an increase in their cost.
If a conglomerate buys used washing machines, then such an unusual choice can theoretically be explained by the presence of an impressive number of such devices in the secondary market and their relatively low cost. For example, on April 21, 2022, there were over 133 thousand ads for the sale of such machines on Avito, many of which cost within 1,500 rubles.
Who might need washing machines
The automotive industry is the industry most affected by the chip shortage. Manufacturers are forced to suspend factories or produce cars without certain components in order to prevent a total shortage of new vehicles.
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It is possible that the microcircuits soldered from washing machines will be useful in other machines, those with wheels and a steering wheel. Bloomberg does not confirm this, but cites the Japanese Toyota as an example, which not so long ago reduced the production plan for its cars for 2022 by 100,000 units. The main reason is the lack of semiconductors and other electronic components.
The German concern Volkswagen AG predicts very sad consequences of the shortage of chips for the entire automotive market. The American Tesla, without disclosing the figures, told the publication that it could not reach the previous production volumes of its electric vehicles without having the required number of semiconductor components in stock.
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Technique
At the same time, there is still demand for cars, although sales are falling due to their shortage as such. At the end of March 2022, car dealerships in the five largest European countries (Bloomberg does not specify which ones) sold 40% fewer cars than in pre-pandemic March 2019.
Meanwhile, global demand for home appliances has begun to decline, making it less likely that semiconductors from washing machines could be used in other home electronics. However, this did not affect the work of chip manufacturers directly – TSMC management says that it has almost no free production capacity for 2022.
Salvation of the industry in used hardware
The example of TSMC is very significant as it is the largest contract electronics manufacturer in the world. In addition, its arsenal includes equipment for the production of chips according to various topologies, including quite ancient ones by modern standards. Probably TSMC’s smaller competitors are also not experiencing problems with orders.
But with new production equipment, such companies definitely have difficulties. The increased demand for semiconductors has led to a shortage of such “iron” – the companies that produce it do not have time to fulfill orders on time. As a result, the waiting time can reach one and a half years.
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Security
But companies have found a way out of this situation. how informed CNews, they began to buy used equipment for lithography, which often costs less and is produced faster. Even 20-year-old lithographic equipment is now also in demand.