How The Chip Shortage Began

Although it seems easy to blame the pandemic for the chip shortage, in reality, COVID-19 is really only one piece of the problem. Surging demand and poor planning were much bigger factors in the chip shortage, and the disruptions from lockdown made an already tenuous situation worse. 

More and more products need chips for their functionality, and that increase in demand was not anticipated early enough to meet. When lockdowns closed factories temporarily, the demand for products continued to increase, and the situation reached its current state which has left manufacturers scrambling.