Companies Are Hacking Their Way Around the Chip Shortage

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The supply chain issues have no end in sight, so manufacturers are being forced to improvise.

stretches toward the two-year mark, manufacturers are pulling some unusual tricks to keep production lines moving. Carmakers are using semiconductors taken from washing machines, rewriting code to use less silicon, and even shipping their products without some chips while promising to add them in later. With the shortage of semiconductors now a new normal, everyone is being forced to adapt., a senior partner at the consulting firm McKinsey.

In some cases, this means taking desperate measures. Last month, Peter Wennink, CEO of the Dutch company ASML, which, revealed another eye-opening example. Wennink says one large industrial conglomerate had resorted to buying washing machines just to scavenge the chips inside them for its products.

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