24.6 C
Oacoma
Friday, August 19, 2022
HomeEconomyMarvell CEO says Covid-19 outbreak in China disrupting technology supply chains

Marvell CEO says Covid-19 outbreak in China disrupting technology supply chains

Date:

Semiconductor CEO Jim Kramer told CNBC Monday that the latest round of coronavirus restrictions in major Chinese cities will likely add to supply chain challenges in the tech sector.

In an interview on “Mad Money”, MARVEL Technology CEO Matt Murphy specifically referred to the city of Shenzhen More than 17 million people In Guangdong Province sometimes referred to as the “Silicon Valley” of China. Officials at the technology center have directed all companies not providing essential services to halt production or have employees work remotely for a week due to the rise in Covid cases.

“More broadly, if you look at the situation in China, the lockdowns certainly have the potential to cause all kinds of disruptions to the electronics industry, particularly in Shenzhen, which I’ve visited many times during my career,” Murphy said. “It’s a city of 17 or 18 million people, so there’s going to be some disruption.”

Foxconn, a supplier to Apple, has Production has been temporarily halted at its factories in Shenzhen. She told CNBC in a statement that it would remain closed until it obtained government approval to resume operations.

Shenzhen’s health orders, which also include citywide Covid testing and public transportation shutdowns, come as China experiences its worst coronavirus outbreak since the epidemic’s early days in 2020. Some neighborhoods in Shanghai have also been closed and schools turned online for instructions.

The pandemic has had far-reaching economic effects, particularly on supply chains for key electronics components such as semiconductors. Shortages of these computer chips have hurt a number of industries, including the auto industry as automakers have been forced to limit production.

Murphy pointed to these challenges, particularly in Southeast Asia, but said “the industry has rebounded and certainly Marvel has rebounded.”

“Although we are still tied up in the supply chain, if you look at our organic revenue growth – if you are Inphi . include Plus Marvell together — we’re growing the company in the high 30% range,” Murphy said. We are continuing to get more supply, but demand is still outpacing it. Lots of challenges in the world. …it won’t go away anytime soon.”

open an account now For the CNBC Investing Club to keep track of Jim Cramer’s every move in the market.

Latest stories

Must Read

How Old Is Sanna Marin? Net Worth, Age, Husband, And More!

Sanna Mirella Marin is a politician from Finland. She has been the country's prime minister since 2019. She has been a member of the...

Suki Waterhouse Shows Off Her Toned Abs In A White Crop Top And Purple Metallic Jeans

Suki Waterhouse showed off her toned midsection during her concert at Hollywood Forever Cemetery in Los Angeles.On Thursday, the 30-year-old actress and singer wore...

LEAVE A REPLY

Please enter your comment!
Please enter your name here