Chip Shortage May Turn Into Glut in 2024: Morningstar's Lee

The video discusses the current supply chain constraints and the expected stabilization of demand in consumer electronics and automotive sectors. It highlights the anticipated oversupply in 2024 due to increased production capacities. The analysis covers the impact on major companies like TSMC and Samsung, emphasizing their strategies to remain competitive. Apple's influence on the semiconductor market is explored, particularly through its valuation and potential new product categories. The performance of Global Foundries is also examined, noting its challenges in utilization rates compared to competitors.

What is the primary reason for the current supply chain constraints in the semiconductor industry?

• Lack of new production capacity

• Rapid growth in automotive volume

• Increased demand for electric vehicles

• High demand for augmented reality devices

Which factor is expected to stabilize the demand for consumer electronics?

• Introduction of new smartphone models

• Plateauing demand for PCs and tablets

• Growth in virtual reality devices

• Increase in automotive production

By what year is the semiconductor industry expected to see a significant increase in production capacity?

• 2025

• 2024

• 2023

• 2022

Which company is considered most protected due to its premium product strategy?

• United Microelectronics

• Global Foundries

• TSMC

• Samsung

How might Apple contribute to increased demand for TSMC's semiconductor products?

• By releasing new categories of products like AR glasses

• By increasing the size of its current chipsets

• By expanding its market in Europe

• By reducing the price of its existing products

What has been a significant challenge for Global Foundries compared to its competitors?

• Lower utilization rates

• Higher production costs

• Lack of publicized deals

• Limited product range

Since going public, how has Global Foundries' market valuation changed?

• Doubled

• Increased by 42%

• Decreased by 10%

• Remained stable