Laptop Supply Chain Woes

At Deep Core Data,  we provide laptops for our customers as part of our managed IT service.  When one of our customer onboards a new employee or needs an upgrade, we issue them one from our reserve.  When they break, we bring them back in, replace them with an identical machine, and our supply chain is simplified because all these machines use the same parts, have the same capabilities ( unless upgraded for a particular task).This generally raises the quality of the computer and reduce cost for both us and our customers.  All in all, it is very convenient for system for everyone.

In 2020, there was a bit of a public health concern in Asia, where the vast majority of microchip manufacturing is done.  At the same time, there was a dramatic uptick in demand for consumer electronics.  The practical upshot was a global microchip shortage.  The automotive industry was most heavily impacted, but we’re feeling the effects in IT as well.  Most of you who have done purchasing professionally or have a Costco card are familiar with the general principle of buying in bulk: The more you get, the more you save.  We’ve actually gotten to the point where that’s inverted in the computer industry; some suppliers are actually charging a premium on orders over a certain size, as they have to make a limited inventory keep all their customers happy and supplied.

Fortunately, we’re in a position where we had a reserve of computers, and our attrition rate was low enough to not eat through that reserve quickly.  That said, we’re likely going to be experiencing these shortages for at least a while longer; Intel CEO Patrick Gelsinger recently said the chip shortage could last another two years, deep into 2023.

As a result, it is more important than ever to take good care of the computers your organization already uses, and to make sure you have a plan for resolving issues and resupplying your employees.  If you’re interested in how Deep Core Data can help your company protect itself from the global microchip shortage, call us today!