Qualcomm CEO says shortage of older chips is likely to go faster

PHOTO FILE: Steve Mollenkopf, CEO of Qualcomm, will speak at the opening ceremony of the fifth World Wide Web Conference (WIC) in Wuzhen, Zhejiang Province, China, November 7, 2018. REUTERS / Jason Lee

SHENZHEN, China (Reuters) – Qualcomm Inc. CEO Steve Mollenkopf said he was “seeing improvement” in efforts to reduce chip shortages that have caused unrest across a number of industries, and that demand is easier to deal with for old chips.

Demand has skyrocketed in recent months, with the shock of buying up more compression capacity and raising costs of even the cheapest parts of almost all microchips.

“The market has the potential to respond faster to some of the older nodes than the newer nodes, so depending on the result, you may be able to get some improvement,” said Mollenkopf, adding speak via videolink at the China Development Forum in Beijing on Saturday.

Speaking in the same panel, Micron Technology Inc. president and CEO Sanjay Mehrotra said the chipmaker would aim to increase their supply in line with the growing demand for the company’s products.

Reporting by David Kirton; Edited by Kim Coghill

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