In an effort to fight the continuing world chip scarcity, chipmaker GlobalFoundries and the Ford Motor Firm have introduced a “strategic collaboration” at this time, each through press launch and protection in The Wall Avenue Journal. The “non-binding settlement,” in accordance to the discharge, “opens the door” for GlobalFoundries to ship extra chips to Ford within the short-term, whereas promising collaboration on future chips for automobiles.

“These might embrace semiconductor options for ADAS, battery administration programs, and in-vehicle networking for an automatic, related, and electrified future,” the discharge reads. “GF and Ford additionally will discover expanded semiconductor manufacturing alternatives to help the automotive business.”

This all sounds promising, although the press launch does not truly commit both firm to any particular actions. When contacted for data on extra particulars, Ford spokesperson Jennifer Flake reiterated that this was “an settlement to work collectively on the areas referred to as out within the launch,” however had no additional data to share.

Automakers have been hit onerous by the chip scarcity, stemming partially from enterprise selections made early within the COVID-19 pandemic. Anticipating decreased demand, automakers reduce their chip orders, and chipmakers in flip minimize chip manufacturing. However demand for brand spanking new autos (and all types of products) has surged again extra shortly than anticipated, and automakers who minimize their orders have discovered themselves in the back of a protracted line ready for extra chips.

The outcomes have been far-reaching. A Detroit Free Press piece from April of 2021 confirmed a parking zone filled with Ford F-150s ready for chips however in any other case absolutely assembled. Chip shortages have slowed or halted manufacturing at many automobile factories this 12 months, and a brief provide of recent automobiles has had in depth knock-on results, driving up the costs of every thing from automobile leases to used automobiles.

If the settlement between Ford and GlobalFoundries to develop future chips bears fruit, it could be one more instance of an organization selecting to design its personal purpose-built chips fairly than counting on general-purpose chips made by the likes of Intel, AMD, Qualcomm, Samsung, Nvidia, or MediaTek. Apple is maybe the highest-profile instance, thanks to the Apple Silicon chips which have changed Intel’s in current Macs. However Google has additionally created its personal chip for its newest Pixel flagship telephones, and Amazon has been deploying its personal chips in its servers to enhance the efficiency and capabilities of the Alexa voice assistant. Intel, which for many years has solely manufactured its personal chips in its factories, is even making strikes to open up manufacturing facility capability for different corporations that need to manufacture their very own designs.