According to the supply chain, Maxim Integrated recently sent a notice to its authorized distributors regarding supply and lead time.

Maxim mentioned in the notice that the tight capacity situation in semiconductor industry is expected to last through the end of CY22, Depending on market dynamics post-pandemic, it is hard to predict factory capacity beyond this. However, the growth of the automotive market, the Industry 4.0 market, 5G, and the Internet of Things and consumer devices represents a major shift in semiconductor demand.

Maxim said that due to the strong backlog and longer queues at each manufacturing location in the supply chain, the lead time is increasing. There have been occasions where order placement from distribution has been far to late to ensure adequate supply support, resulting in line stoppages at customer factories.

Maxim calls on all partners to place adequate backlog in plenty of time and do not use the 5K lead-time for larger quantities. Maxim will provide 25K lead times in their guidance in the coming weeks, however, these will be in general in the region of 26 weeks or more as a rule.