TAIPEI: Taiwan’s Delta put chip orders in early, impact of shortage limited

TAIPEI: Taiwan’s Delta Electronics Inc ,
a supplier of power components to companies such as Apple Inc, said it had put
its orders in early and so was not seeing much impact from global tightness in
chip supplies.

A surge in demand for consumer electronics has driven a global chip shortage
that has idled car factories in particular, and earlier this month Taiwan
computer maker Acer Inc said the problem could damage the PC industry.

The chip shortage, which has prompted panic buying, is further squeezing
capacity and driving up costs of even the cheapest components of nearly all
microchips, according to industry experts.

But Delta Chairman Yancey Hai said they had planned early.
“We’re not affected at the moment. Our orders went to chipmakers very
early. So the impact for us is so-so,” he told reporters on the sidelines
of a company event in Taipei.

Delta, whose shareholders include Singapore’s sovereign wealth fund GIC, makes
devices that control the flow of electricity in a range of products such as
smartphones, gaming devices, personal computers and servers.

Taiwan’s tech firms, a key part of the global supply chain, have boomed on the
back of demand for tablets, laptops and other equipment during the COVID-19
pandemic, which has forced millions to work and study from home.

Delta, which produces around 65% of its products in China, saw its
third-quarter net profit rise an on-year 63.6% to T$8.39 billion.