The world is in the throes of a massive shortage of semiconductors that has impacted numerous industries in a big way, including the tech and auto industry.
Instead of waiting for the the shortage to end and supply to catch up with demand, some of the biggest tech behemoths, including Amazon, Apple, Tesla, Facebook and Baidu are all saying “no thanks” to traditional firms that sell microchips, and instead they’ve started to develop their own.
Just last November, Apple told the world they are ditching Intel’s x86 architecture to instead create their own M1 processor, and it’s already being used in brand new iMacs and iPads.
You may have heard of the “Dojo” chip that Tesla is using AI to manufacture.
Google is in the game too, and reports say they are close to rolling out their own CPU’s that they will be inserting into Chromebook laptops and tablets that run the Chrome operating system.
Amazon has been hard at work on their on networking chip to power hardware switches that transport data around big networks according to CNBC.
In a CNBC story, Russ Shaw at U.K. based Dialog Semiconductor said this.
“These specifically designed chips can help to reduce energy consumption for devices and products from the specific tech company, whether it relates to smartphones or cloud services.”
Currently, the big tech companies are focusing on the design of the chips they will use internally, and not the manufacturing of them. Silicon Valley will still have to outsource the building of them.