Russia’s Invasion of Ukraine Just Made the Chip Shortage Worse

If you thought the chip shortage was bad before, just wait.

You probably didn’t know – I didn’t – that neon is critically important to manufacturing semiconductors.

Second think I didn’t know – almost half of the world’s semiconductor grade neon comes from. Wait. Ukraine.

Two Ukranian suppliers, Ingas and Cryoin, have halted production. Ingas normally generates 15,000 to 20,000 cubic meters of neon per month.

Among the MANY products affected are Ford F-150s and Apple everythings.

While big companies like Intel might be able to buy supplies for a little while on the open market, smaller companies will be more challenged.

Prices of neon went up 600% during Putin’s last war with Ukraine in 2014.

Even if we do figure out how to make chips in the U.S., it won’t work if we don’t have the raw materials.

Did Putin invade Ukraine to control the supply of a mineral that is critical to the west? He already controls a significant portion of the supply of C4F6, Palladium, Helium and Scandium.

Just Saying.

Credit: Gizmodo