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ASICs Bring Back Control to Supply ChainsBy Ian Lankshear, Ensilica The aftereffects of COVID-19 demonstrated the ease with which supply chains can grind to a halt. OEMs found themselves unable to source even relatively simple components for their PCBs because the semiconductor vendors prioritized other product lines to maximize profitability in the face of shortages. Several complications—from the Renesas fire to the Suez Shipping Canal obstruction to the Russia-Ukraine war—created further pressures on supply chains. Political and economic complications in 2024 also added challenges, with some forecasts suggesting the Israel-Gaza conflict could tip the world economy into a recession. OEMs must take back control of supply chains and consider taking an ASIC (application-specific integrated circuits) route, using cost-effective custom silicon designs, which can give back the flexibility, visibility, stability and resilience that supply chains need.
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