We deliver to Europe! | E-Mail: info@omtec.de | Contact form

Russia, China, Intel, and supply chains

Russia’s war against Ukraine is causing sad fears, among other things about Europe’s energy supply. Apart from its importance as an oil and gas exporter, however, Russia plays only a minor role in global economy. In contrast, China as economic superpower has overtaken the USA. China and the USA each account for more than 20 % of global gross domestic product. Japan, India, and Germany follow far behind with 4-6 % each.

Intel Ethernet CardIntel’s up to date series 800 Ethernet controller (max. 100 GB/s transmission rate)

With its rigorous corona lockdown policy, China is currently taking itself out of the running. Researchers at Fudan University Shanghai have published modeled rates of infections in NATURE MEDICINE this week. Their results shows that 20 people infected with the Omicron variant, “unleashed” on the Chinese population, would overload China's intensive medical care capacities more than 15-fold and would cause 1.5 million deaths within 6 months. One reason for this is the low booster vaccination rate among Chinese over 60 years. The study from Shanghai, titled “Modelling transmission of SARS-CoV-2 Omicron in China”, confirms calculations by London-based think tank Airfinity, which specializes in medical issues, published back in March.

In case of computer hardware, there could be another, to some extent “home-made” reason for worldwide delivery problems. Anton Shilov, news writer at “Tom's Hardware”, points this out. Already in 2021, chip manufacturer Intel decided to consolidate the production of high demanded Ethernet controllers. Therefore, Intel cancelled more than 30 Ethernet products in favor of a few modern and more expensive series. This was to meet the ever-increasing demand for controllers and promised Intel to do better business.

But in fact, says Shilov, many laptop and PC manufacturers were hesitant to order new Ethernet controllers, either because of higher prices or because they were unsure of their reliability and compatibility. Intel was surprised by their customer’s little interest, and manufacturers have of lack of Ethernet controllers now.

We cannot verify any of the three assumptions on reasons for delivery bottlenecks, especially the latter seems speculative. Of course, most manufacturer hold their cards close to the chest. Probably a wide bundle of interacting and hardly transparent single reasons is leading to the current strained situation on computer market.

References:

Jun Cai et al, Modeling transmission of SARS-CoV-2 Omicron in China, Nature Medicine, Springer, 10 May 2022, www.nature.com/articles/s41591-022-01855-7 (as PDF downloadable for free).

Arndt Reuning, Volkart Wildermuth, China hadert mit der Abkehr von Null-Covid, DLF Forschung aktuell, 11 May 2022, www.deutschlandfunk.de/forschung-aktuell-100.html (German audio file)

Matt Linley et al, China risks over a million deaths if Omicron spreads, Airfinity, London, 22 March 2022, www.airfinity.com/insights/china-risks-over-a-million-deaths-if-omicron-spreads-but-available-western (last accessed 13 May 2022)

Anton Shilov, Intel Discontinues Multiple Ethernet Controllers to Fight Shortages, tom's Hardware US Edition, Oct. 26, 2021, www.tomshardware.com/news/intel-discontinues-network-controllers-to-fight-shortages (last accessed May 13, 2022)

The fields marked with * are required.

Die Datenschutzbestimmungen habe ich zur Kenntnis genommen.