The Global component shortage situation

We wanted to give you a quick update on the global component shortage that is affecting displays and other products in this rapidly changing scenario and the issues we are all facing.

With component manufacturing facilities at capacity, there is some hope as foundries are investing in new facilities and doing it quickly including the construction of massive facilities happening very quickly indeed. BUT it will take time for these new foundries to get up to speed and deal with the backlog of demand. This has meant that prices and lead-times are changing on an almost daily basis, components that had been anticipated to continue for several years are being made end of life with little or no notice creating real issues in the global display and touchscreen markets.


What CDS are actively doing about it

CDS is working very closely with our manufacturing partners and factories, who are putting in a huge amount of effort to try to secure TFT panels, interface boards, touchscreens, panel PC and the driver ICs needed for all those products to keep shipping schedules on time and reduce any delays that may become evident. Now there are constant negotiations and bartering to get the best allocation of product that we possibly can, and our factories are doing their best to secure all the stock they and we require.


The global impact of this significant supply and demand shift means that CDS customers (like all other display customers) may experience several price rises, extended lead-times, and last-minute delays to shipments. This is not the way we want to do business, but it really is out of our control, although with our operations teams in the Far East and Europe, we are very closely monitoring the situation with chip suppliers and our own manufacturing partners and factories and are quick to react when things change to keep disruption to an absolute minimum for our customers.


We hope this update helps to keep you in the loop but if you have any specific questions, please ask your CDS account manager or any one of our logistics team, but the sooner we can receive your orders and get them in the system the greater chance of no issues with supply, so if you can help us with that it would really help. Thank You.

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