President Biden calls on Congress to help fight semiconductor shortage

NVIDIA GeForce RTX 2080 Ti
NVIDIA GeForce RTX 2080 Ti (Image credit: Harish Jonnalagadda / Windows Central)

What you need to know

  • The White House called for funding to fight the semiconductor shortage as part of its budget proposal to Congress.
  • The proposal includes a request for $150 million to fund new manufacturing plants, including one for semiconductor manufacturing.
  • The U.S. Government has taken several steps before this to address the semiconductor shortage.

President Biden called for funding to fight the semiconductor shortage in the White House's first budget proposal to Congress today. The request from the White House includes $150 million to fund two new manufacturing programs, one of which would target semiconductor manufacturing in the U.S. The budget proposal also includes several other requests, but the semiconductor shortage is an important component for several industries.

The ongoing semiconductor shortage has made it difficult to purchase new game consoles, including the Xbox Series X, Xbox Series S, and PlayStation 5. It's also made it almost impossible to get your hands on the best graphics cards like the NVIDIA GeForce RTX 3070. Likely more importantly to the White House and Congress, the semiconductor shortage has halted manufacturing of some vehicles and affected people's employment.

This isn't the first effort by the U.S. Government to address the semiconductor shortage. The "American Jobs Plan" included an investment of over $50 billion in the sector as part of the $2 trillion infrastructure package. President Biden also signed an executive order to review the semiconductor supply chain. The reviews of the semiconductor supply chain were scheduled to end this month.

The current global pandemic has exacerbated the semiconductor shortage. As more people work and study from home, demand for devices with semiconductors went up.

White House and cabinet officials are scheduled to host a virtual CEO summit to discuss the semiconductor supply chain. It's expected that companies such as AT&T, Ford, General Motors, Intel, and Samsung are likely to attend, according to The Verge.

Sean Endicott
News Writer and apps editor

Sean Endicott brings nearly a decade of experience covering Microsoft and Windows news to Windows Central. He joined our team in 2017 as an app reviewer and now heads up our day-to-day news coverage. If you have a news tip or an app to review, hit him up at sean.endicott@futurenet.com (opens in new tab).

8 Comments
  • Here we go again.
  • And? Even if they broke ground TODAY, he will be out of office before the first chip rolls off the line. These things take time and that assumes they don't have to deal with the 18 government agencies that will want their hands on the process.
  • Are you suggesting that governments shouldn't plan for the future, create US jobs, nor invest so that the country is less dependent on foreign resources?
  • No, but it's your own writers trying to sell this as helping in the present. The title says: "President Biden's budget proposal to Congress includes a call to fight the current semiconductor shortage." This funding will NOT address the current shortage, yet your writers make the claim it does with no explanation as to how the current shortage is impacted. It's about future manufacturing, not the issues of supply we're seeing now. Don't get testy with the readers because of what your writers published.
  • Won't the current shortage continue to be current until someone does something about it? We're still in the same global pandemic as over a year ago. It's current until it is in the past.
  • Not exactly. It's supply and demand. Because of the current conditions, demand for these products has gone up, whether it be because people need new computer systems at home or servers needing to be bolstered to handle work from home conditions. Long story short, the demand will be satiated at some point. And at that point, increased supply would be more of an issue than a solution. (Jobs would need to be cut)
  • But demand is ever increasing even without a global pandemic. Less and less products are devoid of semiconductors, and more and more become disposable.
  • Every industrial and technological revolution was not because Washington planned for it. It was because people who had a passion for it made it work. Like every other case of market stupidity, this one will eventually correct itself. But even if he has a factory, what then? The US's silicon mining output is a rounding error compared to China and Russia. Unless Biden is seriously saying he is going to reign in the EPA's general opposition to mining, we will still be dependent on foreign resources. It's still a McDonald's hamburger if they give me all of the pieces and I assemble it myself.