Worldwide stock issues and reasons for it

SpyderTracks

We love you Ukraine
Hi All

There are a number of people who don't seem to be aware of the issues facing particularly the computer industry, really thoughout this year, so thought it best to outline with sources what's going on.

This is a WORLDWIDE PANDEMIC.

Most computer components are made in China, and when I say most it's literally 99% of them.

To go back in time a bit.... Wuhan in China was the center of the outbreak which really started affecting them hard back in December last year. They went into full lockdown in January for 3 months.

There was ZERO production during this time.... I'm not talking some or only a little, quite literally they didn't produce anything at all, zilch, nada, nich!

Since then end of that lockdown, China has been in and out of lockdowns across the country, and even when they have been in production, it's with operating restrictions in place so they don't have the full staff quotas they normally would and have to social distance, and a lot of vulnerable aren't able to work because of the risk of death.

Meanwhile, around the rest of the world, but we'll stick in the UK, we went into lockdown from March for almost 3 months. An awful lot of companies have resorted to accepting this was a long term issue and have told staff they'll be remote working from now on with only critical staff having to go into the office, pandemic or not. Also, less travelling and expenses meant that people had a lot of extra cash to throw around at a time when everyone and their dogs required new computers and equipment to facilitate working from home.





Component sales in general have been through the roof since march in the UK, and there's no sign of it dropping. Back in March and April, webcams were being sold for thousands of pounds on places like Amazon because they'd all sold out as just one example of stock issues:


So China had a quarter of the year with no production whatsoever, meanwhile demand and sales went through the roof. And I'm afraid China have not caught up to even normal output quotas, let alone to provide for the massive increase in demand.

Forward to now, we have some of the most powerful new CPU and GPU releases in the last 15 years or so. So again, now, not only do we have remote workers buying, but now gamers on top of that, demand is at an all time high, but China can't possibly keep up with the demand, so supplies are low, pre orders are rediculously huge, and most people are in a queue to get their goods.





But it's not by any means restricted to new releases of GPU's and CPU's only, a lot of other components are now facing stock shortages, largely related to warehouse stocks having dried up due to the lower manufacturing output not filling them up again quick enough:





And then it's not just manufacturing issues, but logistics problems related to Corona safety measures, issues at border control with having to do corona tests before being allowed entry, stuff like that. So now on top of low production from factories, you've often got shipments being turned away at the ports because there's an infection on board, or a shipment never leaving the dock because they haven't got enough units to fulfill the order, but mainly orders being received are just a part of the overall that was ordered:


Then in the UK specifically you have to factor in the extra uncertainty of Brexit which finalises at the end of december meaning that haulage and shipping firms are having to meet extra criteria and visa applications to come here:



This means that JIT stock systems just don't work, there's no way to predict what's coming in or when because often, what's promised is not delivered or is delayed without clear dates given for ETA. So when you're saying "PCS need to be more transparent", they literally can't be because they have very little information to pass on.

For an overall clearer picture, computer sales have been on the downturn for years, with more people moving to tablets and mobiles. This year however, it's seen double digit increases which is VERY substantial!

This is going back as far as 2013: https://www.bbc.com/news/business-23251285

This is 2016: https://www.weforum.org/agenda/2016/04/4-charts-that-explain-the-decline-of-the-pc/

This was in 2018: https://techcrunch.com/2019/01/11/g...JMvllBBDpGaiSnjoqGTktSme3rCdOO3BfrKBpfvD9wso1

This is this year: https://www.idc.com/getdoc.jsp?containerId=prUS46928320

This is not an issue with PCS, this is a worldwide problem and will be ongoing during covid and likely for a few months after that while the world fights to get back to normal.

Please, have some patience and understanding, don't flood PCS with unnecessary calls about having ordered 20 days ago and not receiving it yet, orders are taking substantially longer than normal. And please please please, don't be calling up every five minutes asking if they've received any GPU or CPU stocks, each one of these calls is adding to the already enormous pressure they're under, and further delaying your build and other peoples.

BUT!!! On the plus side, when you receive your new PC, it’s quite frankly going to blow your socks off. Even if we’re relating to performance of a top tier last generation PC with a 2080ti and i9 10900k, these new builds absolutely destroy them, this really is one of the most incredible times for the computing world, for gaming and productivity.

You will be amazed when you get your shiny beast and slap on that just released AAA game and see ray tracing on full with your new ultrawide monitor!


This is NOT A NORMAL TIME, NOTHING IS NORMAL FOR ANYONE.

We all have to accept that companies are doing their best under very strict Covid related working practices and social distancing along with general supply and manufacturing issues.
 
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SpyderTracks

We love you Ukraine
Furthermore, automated emails should be ignored. PC builds are currently taking around 40 - 50 days. Laptops are significantly quicker at around 10 - 15.
 

DTGx90

Member
Well said, everyone and every company has had to adapt in major ways and of course that will have a knock on effect with production and distribution. Everyone is just doing what they can throughout. Waiting a little longer never hurt anyone.
 

Gavras

Master Poster
As mentioned in a separate post (1650 card) one of key components is the MLCC.

it was already a short supply component for numerous reasons.

40% of supply is from China (Wuxi), the rest, Philippines, Japan, Malaysia, Taiwan and Korea.

All were hit with a downturn in production due to national lockdowns and a huge increase in demand due to lockdown (utterly bizarre).

These components are used in solar panels ,medical devices, cars (electric cars use circa 10k), 5g phones use something like 4 times more than a mobile from a couple years ago, TV’s pretty much everything.

Even without the pandemic and after the pandemic, get used to shortages of electronic goods or car orders being delayed.


Why you ask does that mean I can’t have my graphics card....

this is why..

 

Harag

Gold Level Poster
Furthermore, automated emails should be ignored. PC builds are currently taking around 40 - 50 days. Laptops are significantly quicker at around 10 - 15.
:( My gaming machine just died as well, just before my 2 week break at xmas and all these issues. Arrrh. Oh Well, As the wife says, I can at least play some of my older steam games on the spare pc...

Thanks for the post / update SpydarTracks.
 

snappyhappy2015

Active member
Well said Spyder, I have not updated since my 2016 PCS build . Which has served me well and still working fine. The jump in components for my build is huge so worth a bit of a wait :) PCS makes it clear in the configuration options what kit will be hard to get a hold of.
 
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