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Intel and Qualcomm say no major chip disruptions will occur from crisis in Japan

The chipmakers have no current plans to lower production rates of its chipsets in response to the factory shutdowns in Japan.

While a number of Japanese manufacturers could be facing tight supply issues, Intel and Qualcomm are confirming that they are not worried about component and material shortages for their chip and semiconductor productions. Both companies appear to be avoiding possible major component shortages by having a wide variety of stock sources.

“Qualcomm has multiple, geographically diverse sources for supply as well as production processes specifically designed to enable us to mitigate disruptions in our supply chain” the company proclaimed. Qualcomm is one of the largest suppliers of semiconductors and processors for mobile devices. The company is now popular for its ARM-based Snapdragon processor, which is now found in many smartphones and tablets such as the upcoming HTC Flyer and HP TouchPad.

Concerning Intel, spokesperson Chuck Mulloy makes a similar claim regarding supply issues. “Our general rule is that nothing is sole-sourced”, said Mulloy in a Bloomberg report.

The nonchalant attitude on supply shortages counter comments made by certain analysts, according to Tomshardware. Analysts at Barclays Plc and UBS AG speculated that the current wide factory shutdowns would deny ample supply of certain chemical resins needed for companies like Intel and Qualcomm.  Even if chipmakers remain unaffected, other components such as LCD panels, microcontrollers, NAND flash chips, and RAM will see some level of shortage in the near future, according to iSuppli.

Expect more news to come as additional companies weigh in on the consequences of factory shut downs and fears of possible supply problems.


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Allen Ngo, 2011-03-18 (Update: 2012-05-26)