Indie Semiconductor is profiting from auto chip shortage, CEO says

The worldwide chip lack that’s been a headache for automobile manufacturers has really been a boon for Indie Semiconductor, CEO Donald McClymont explained to CNBC Wednesday.

“Whereas others are having difficulties, we have basically truly profited,” he said in a “Mad Funds” job interview.

McClymont’s remarks came right after Ford Motor declared previously in the working day it would slash again on motor vehicle creation at numerous North American crops as the field grapples with a global chip shortage. Need for semiconductors has spiked for the duration of the Covid-19 pandemic as people invest in more electronics for their homes. Semiconductors are made use of in a selection of customer goods, together with telephones, computer systems and significantly electrified automobiles.

Indie Semiconductor, which is dependent in Aliso Viejo, California, tends to make next-generation chips and software package for the automobile sector. It materials chips for apps such as highly developed driver-support and autonomous techniques, linked driving, user encounter and car electrification.

But while companies like have Ford struggled, Indie Semiconductor reviews getting a $2 billion backlog for orders.

“We made our source chain form of in our very own picture. We are wholly concentrated on the automotive current market,” McClymont stated. “We picked suppliers who are also significantly the similar and to that stop, they make the proper decisions for the auto market.”

The personal firm is expected to turn into a general public 1 within just months soon after its blank-test merger with Thunder Bridge Acquisition II closes. Shares of the SPAC, or particular objective acquisition organization, rose 3.37% to $10.42 for every share on Wednesday.

The merger, which was introduced in December, values Indie Semiconductor at about $1.4 billion. Indie Semiconductor wants to mature its attain in a $16 billion current market for automobile semiconductors, the enterprise said citing IHS figures.

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