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Navya and REE Automotive announce that they have signed an agreement to develop a level 4 autonomous system including REE corner technology and Navya self-driving solutions

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VILLEURBANNE, France, and TEL AVIV, Israel, April 19, 2021 /PRNewswire/ — Navya (FR0013018041- Navya), a leading company in autonomous driving systems and REE Automotive (“REE”), a leader in e-Mobility which recently announced its merger with 10X Capital Venture Acquisition Corp. (NASDAQ: VCVC), announce that they have signed an agreement to collaborate in the development of a level 4 autonomous system including REEcorner technology and Navya self-driving solutions.

REE is revolutionizing the e-Mobility industry through its highly modular and disruptive REEcorner technology which integrates critical vehicle components (steering, braking, suspension, powertrain and control) into the arch of the wheel. REE’s proprietary x-by-wire technology challenges century-old automotive concepts by being agnostic to vehicle size and design, power-source and driving mode (human or autonomous). Platforms utilizing REEcorners can present significant functional and operational advantages over conventional EV “skateboards” currently available in the market.

Navya is a leading player in level 4 autonomous driving systems for passenger and goods transport. Since 2015, Navya autonomous mobility solutions have been first to market and first to on-road service in real conditions. The Autonom® Shuttle, main development platform, is dedicated to passenger transport. Since its launch, more than 180 units have been sold in 23 countries, as of 31 December, 2020. The Autonom® Tract is designed for goods transport.

The next generation of level 4 autonomous mobility solutions:
Powered by REE, Driven by Navya, the co-developed next generation level 4 autonomous system will be designed as a high standard, state of the art autonomous mobility solution with key competitive advantages considering quality, cost and performance. Safety first principles will be implemented based on very high Safety requirements with regards to ISO 26262:2018 and ISO/PAS 21448:2019.

REE Automotive

Daniel Barel, Co-Founder and CEO of REE Automotive, comments: “The combination of our mutual expertise should enable game-changing autonomous mobility solutions that transport passengers and goods efficiently and cost-effectively while fully complying with rigorous safety standards. We are delighted to move forward on a partnership with Navya. This collaboration of REE’s corner technology aligns perfectly with Navya’s strategy of providing constant improvement for its autonomous driving solutions”.

Etienne Hermite, CEO of Navya,concludes: “We are very pleased to have signed this agreement with REE Automotive, which is a major player in automotive technology. This partnership is fully in line with Navya’s strategy of deploying level 4 autonomous driving systems with safe drive components (steering, braking, suspension, powertrain and control) into the arch of the wheels. This partnership will enhance unlocks fantastic opportunities to create multiple new level 4 autonomous form factors with the view to address different use cases “.

About Navya
Created in 2014, Navya is a leading name specialized in the supply of autonomous driving systems and associated services. With 280 employees in France (Paris and Lyon), in the United States (Saline, Michigan) and in Singapore, Navya aims to become the leading player in level 4 autonomous driving systems for passenger and goods transport. Since 2015, Navya autonomous mobility solutions have been first to market and first to on-road service. The Autonom® Shuttle, main development platform, is dedicated to passenger transport. Since its launch, more than 180 units have been sold in 23 countries, as of 31 December, 2020. The Autonom® Tract is designed for goods transport. The Valeo and Keolis groups are among Navya’s historical shareholders. Navya is listed on the Euronext regulated market in Paris (ISIN code: FR0013018041- Navya). For more information visit: www.navya.tech/en

Contacts

Navya

Navya

NewCap

Marketing & Communication

Chief Strategy and Development

Investor relations

Manager

Officer

Thomas Grojean

Mélanie Voron

Pierre Lahutte

navya@newcap.eu

melanie.voron@navya.tech 

pierre.lahutte@navya.tech 

+33 (0)1 44 71 98 55

+33 (0)6 68 23 82 84

 

About REE Automotive
REE is an automotive technology leader creating the cornerstone for tomorrow’s zero-emission vehicles. REE’s mission is to empower global mobility companies to build any size or shape of electric or autonomous vehicle – from class 1 through class 6 – for any application and any target market. Our revolutionary, award-winning REEcorner technology packs traditional vehicle drive components (steering, braking, suspension, powertrain and control) into the arch of the wheel, allowing for the industry’s flattest EV platform. Unrestricted by legacy thinking, REE is a truly horizontal player, with technology applicable to the widest range of target markets and applications. Fully scalable and completely modular, REE offers multiple customer benefits including complete vehicle design freedom, more space and volume with the smallest footprint, lower TCO, faster development times, ADAS compatibility, reduced maintenance and global safety standard compliance.

Headquartered in Tel Aviv, Israel, with subsidiaries in the USA, the UK and Germany. REE has a unique CapEx-light manufacturing model that leverages its Tier 1 partners’ existing production lines. REE’s technology, together with their unique value proposition and commitment to excellence, positions REE to break new ground in e-Mobility.

For more information visit https://www.ree.auto

Contact

REE Automotive 

Chief Marketing Officer

Public Relations 

Investor Relations

Keren Shemesh 

media@ree.auto 

investors@ree.auto 

Kerens@ree.auto 

+972-54-5814333

Additional Information
This communication is being made in respect of the proposed transaction involving REE Automotive Ltd. (“REE”) and 10X Capital Venture Acquisition Corp (“10X SPAC”). This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction. In connection with the proposed transaction, REE has filed with the Securities and Exchange Commission (“SEC”) a registration statement on Form F-4 that includes a proxy statement of 10X SPAC in connection with 10X SPAC’s solicitation of proxies for the vote by 10X SPAC’s shareholders with respect to the proposed transaction and other matters as may be described in the registration statement. REE and 10X SPAC also plan to file other documents with the SEC regarding the proposed transaction and a proxy statement/prospectus will be mailed to holders of shares of 10X SPAC’s Class A ordinary shares. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS ARE URGED TO READ THE FORM F-4 AND THE PROXY STATEMENT/PROSPECTUS REGARDING THE PROPOSED TRANSACTION AND ANY OTHER RELEVANT DOCUMENTS CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. The proxy statement/prospectus, as well as other filings containing information about REE and 10X SPAC will be available without charge at the SEC’s Internet site (https://www.sec.gov). Copies of the proxy statement/prospectus can also be obtained, when available, without charge, from REE’s website at https://ree.auto/. Copies of the proxy statement/prospectus can be obtained, when available, without charge, from 10X SPAC’s website https://www.10xspac.com/.

Participants in the Solicitations
REE, 10X SPAC and certain of their respective directors, executive officers and other members of management and employees may, under SEC rules, be deemed to be participants in the solicitation of proxies from 10X SPAC’s shareholders in connection with the proposed transaction. You can find more information about 10X SPAC’s directors and executive officers in 10X SPAC’s final prospectus dated November 24, 2020 and filed with the SEC on November 25, 2020. Additional information regarding the participants in the proxy solicitation and a description of their direct and indirect interests will be included in the proxy statement/prospectus when it becomes available. Shareholders, potential investors and other interested persons should read the proxy statement/prospectus carefully when it becomes available before making any voting or investment decisions. You may obtain free copies of these documents from the sources indicated above.

No Offer or Solicitation
This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act, or an exemption therefrom.

Caution About Forward-Looking Statements
This communication includes forward-looking statements. These forward-looking statements are based on REE’s and 10X SPAC’s expectations and beliefs concerning future events and involve risks and uncertainties that may cause actual results to differ materially from current expectations. These factors are difficult to predict accurately and may be beyond REE’s and 10X SPAC’s control. Forward-looking statements in this communication or elsewhere speak only as of the date made. New uncertainties and risks arise from time to time, and it is impossible for REE or 10X SPAC to predict these events or how they may affect REE or 10X SPAC. Except as required by law, neither REE nor 10X SPAC has any duty to, and does not intend to, update or revise the forward-looking statements in this communication or elsewhere after the date this communication is issued. In light of these risks and uncertainties, investors should keep in mind that results, events or developments discussed in any forward-looking statement made in this communication may not occur. Uncertainties and risk factors that could affect REE’s and 10X SPAC’s future performance and cause results to differ from the forward-looking statements in this release include, but are not limited to: the occurrence of any event, change or other circumstances that could give rise to the termination of the business combination; the ability to bring to market MEVs in accordance with the Strategic Collaboration Agreement and realize the other goals and targets described in this press release; the outcome of any legal proceedings that may be instituted against REE or 10X SPAC, the combined company or others following the announcement of the business combination; the inability to complete the business combination due to the failure to obtain approval of the shareholders of 10X SPAC or to satisfy other conditions to closing; changes to the proposed structure of the business combination that may be required or appropriate as a result of applicable laws or regulations; the ability to meet stock exchange listing standards following the consummation of the business combination; the risk that the business combination disrupts current plans and operations of 10X SPAC or REE as a result of the announcement and consummation of the business combination; the ability to recognize the anticipated benefits of the business combination, which may be affected by, among other things, competition, the ability of the combined company to grow and manage growth profitably, maintain relationships with customers and retain its management and key employees; costs related to the business combination; changes in applicable laws or regulations; REE’s estimates of expenses and profitability and underlying assumptions with respect to shareholder redemptions and purchase price and other adjustments; intense competition in the e-mobility space, including with competitors who have significantly more resources; ability to grow and scale REE’s manufacturing capacity through new relationships with Tier 1 suppliers; ability to maintain relationships with current Tier 1 suppliers and strategic partners; ability to make continued investments in REE’s platform; the need to attract, train and retain highly-skilled technical workforce; the impact of the ongoing COVID-19 pandemic; changes in laws and regulations that impact REE; ability to enforce, protect and maintain intellectual property rights; and risks related to the fact that we are incorporated in Israel and governed by Israeli law; and other risks and uncertainties set forth in the section entitled “Risk Factors” and “Cautionary Note Regarding Forward-Looking Statements” in 10X SPAC’s final prospectus dated November 24, 2020 relating to its initial public offering and in subsequent filings with the SEC, and in the registration statement on Form F-4 relating to the business combination filed by REE on March 10, 2021.

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SOURCE REE Automotive

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How $15 billion Qualtrics used its own software to decide employees should come into offices 3 days a week post pandemic

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Zig Serafin Qualtrics
Zig Serafin, Qualtrics CEO

  • Qualtrics will adopt a hybrid-work model where employees come into offices 3 days a week.
  • It used its own software to survey employees and design a plan that met their preferences.
  • Insider spoke its execs including CEO Zig Serafin about how it designed its hybrid work model.
  • See more stories on Insider’s business page.

Utah-based Qualtrics is the latest tech company to rethink where and how its employees will work post-pandemic – and the company used its own survey software to come to its final decision.

Qualtrics – which currently has a market cap around $15 billion – had a very in-person, office-centric culture before the pandemic: 91% of employees came into one of its 28 offices full-time. However, it now plans to have a hybrid model going forward where employees are expected to come to the office about three days per week and can work remotely otherwise.

Insider spoke to CEO Zig Serafin and Qualtrics chief people officer Julia Anas about how it decided on a hybrid work model and why it believes it strikes the best balance between in-person and remote benefits

Putting its own “experience management” software to the test

Qualtrics used its own software to decide how its workforce will be structured post-pandemic.

The company bills itself as the creator of a category it calls “experience management”: It essentially helps companies survey their own customers and employees to identify and manage the gaps between the experience they hope for and the one they’re currently getting, and counts Microsoft and BMW among its customer base.

Qualtrics uses its own tools to regularly keep tabs on how employees are feeling. In many surveys over the past year, workers indicated that they missed gathering in-person and that it was hard to digitally replicate the spontaneity and energy that came from being in an office together.

However, once the company started including more specific questions, it found that while people missed seeing each other, they still wanted the flexibility of working remotely.

Only 3% of employees said they want to be fully remote while a majority said they wanted the option to come into an office a few days a week. Meanwhile, 77% said flexibility was important and a whopping 90% of senior leaders and managers said they feel more productive working remotely.

That productivity is apparent when looking at the company’s performance over the last year, Serafin said.

The company added 1,000 new employees since the beginning of last year and successfully went public in late January. Subscription revenue grew 33% on a yearly basis in Q4 of last year and 46% in Q1 of this year.

“What’s been interesting is that collectively we’ve been able to deliver amazing innovation,” Serafin said.

That success combined with employees’ survey responses caused the leadership team to say “Hey, wait a minute. Maybe people don’t have to be always in the office. What could that look like?” Anas told Insider.

Julia Anas Qualtrics
Julia Anas, Qualtrics chief people officer

Anas, who joined Qualtrics at the beginning of this year, said the hybrid model will allow the company to combine the best virtual productivity and collaboration practices with the best parts of an in-person office culture. The only exception to the new hybrid policy is for employees that were already remote pre-pandemic and “will continue to be supported working remotely,” the company said.

Qualtrics breaks from other tech companies that are rolling out fully remote policies, like Atlassian or Dropbox. Google originally announced a hybrid model, but said that it would be more flexible after some employees threatened to quit if they couldn’t remain remote.

Adapting to a hybrid-work model

Qualtrics said most offices won’t fully reopen until September 1, which is when its new hybrid model will officially take effect, though it will reopen the Australia office on July 1, given that the country has largely contained the virus. Given that it has offices around the world, it will monitor the COVID situation for each location.

Both Serafin and Anas said the number one thing leaders are focused on as it implements a hybrid model is listening.

“Listening is leading,” Serafin said. “Employee engagement improves by about 90% when employees see meaningful action, that’s being taken on their feedback.”

It seems obvious, but being intentional about it is important, he added.

Qualtrics isn’t directing employees to come in on any three specific days and will instead let managers set those guidelines for their teams. It’s also leaving it up to managers to decide what meetings will still be virtual and which will require in-person collaboration. There will be a lot of trial and error as people return to offices and Anas plans to continue gathering employee feedback throughout that process.

The company also plans to redesign offices and put in more types of collaboration and meeting spaces, so people can get the most value out of going to the office. For example, even pre-pandemic Qualtrics had a dedicated space in all offices for all-hands meetings that included screens that allowed workers to see their colleagues from other offices.

Serafin envisions more spaces like that – and bringing more virtual collaboration tools into offices – but acknowledges that the process will be iterative as different teams like design, engineering, and sales figure out what works best for them.

Qualtrics Headquarters
Qualtrics Headquarters in Provo, Utah

Qualtrics’ unique advantage for attracting talent

Qualtrics’ new hybrid model also enhances what it says is one of its unique advantages, which is that it is not based in Silicon Valley. The company is headquartered in Provo, Utah and has offices in places like Seattle, Dallas, and various international locations.

Newer tech hubs like Provo were already challenging Silicon Valley’s dominance and that’s continued as remote work allowed many tech workers to move to lower cost areas outside of Silicon Valley.

Moving to a hybrid model makes Qualtrics an even more attractive option for those who want flexibility but also the option to go into an office when they want, Serafin said.

“We invested in offices in places that are fun to be in with some of the most amazing cities and locations in the world, so you’ll find talent there,” he said.

Anas also saw that several aspects of the company’s culture improved over the last year, like manager effectiveness and inclusivity. Serafin attributes some of that to the fact that meeting virtually allows for more people to join in a conversation or a decision making process.

“You actually end up inviting more voices to be a part of the conversation with collaboration, the decision making,” Serafin said. “That obviously recognizes talent and you can take advantage of that as part of how you’re innovating as a company.”

Do you work at Qualtrics? Contact this reporter via email at pzaveri@insider.com or Signal at 925-364-4258. (PR pitches by email only, please.)

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How $15 billion Qualtrics used its own software to decide employees should come into offices 3 days a week post pandemic

Avatar

Published

on

Zig Serafin Qualtrics
Zig Serafin, Qualtrics CEO

  • Qualtrics will adopt a hybrid-work model where employees come into offices 3 days a week.
  • It used its own software to survey employees and design a plan that met their preferences.
  • Insider spoke its execs including CEO Zig Serafin about how it designed its hybrid work model.
  • See more stories on Insider’s business page.

Utah-based Qualtrics is the latest tech company to rethink where and how its employees will work post-pandemic – and the company used its own survey software to come to its final decision.

Qualtrics – which currently has a market cap around $15 billion – had a very in-person, office-centric culture before the pandemic: 91% of employees came into one of its 28 offices full-time. However, it now plans to have a hybrid model going forward where employees are expected to come to the office about three days per week and can work remotely otherwise.

Insider spoke to CEO Zig Serafin and Qualtrics chief people officer Julia Anas about how it decided on a hybrid work model and why it believes it strikes the best balance between in-person and remote benefits

Putting its own “experience management” software to the test

Qualtrics used its own software to decide how its workforce will be structured post-pandemic.

The company bills itself as the creator of a category it calls “experience management”: It essentially helps companies survey their own customers and employees to identify and manage the gaps between the experience they hope for and the one they’re currently getting, and counts Microsoft and BMW among its customer base.

Qualtrics uses its own tools to regularly keep tabs on how employees are feeling. In many surveys over the past year, workers indicated that they missed gathering in-person and that it was hard to digitally replicate the spontaneity and energy that came from being in an office together.

However, once the company started including more specific questions, it found that while people missed seeing each other, they still wanted the flexibility of working remotely.

Only 3% of employees said they want to be fully remote while a majority said they wanted the option to come into an office a few days a week. Meanwhile, 77% said flexibility was important and a whopping 90% of senior leaders and managers said they feel more productive working remotely.

That productivity is apparent when looking at the company’s performance over the last year, Serafin said.

The company added 1,000 new employees since the beginning of last year and successfully went public in late January. Subscription revenue grew 33% on a yearly basis in Q4 of last year and 46% in Q1 of this year.

“What’s been interesting is that collectively we’ve been able to deliver amazing innovation,” Serafin said.

That success combined with employees’ survey responses caused the leadership team to say “Hey, wait a minute. Maybe people don’t have to be always in the office. What could that look like?” Anas told Insider.

Julia Anas Qualtrics
Julia Anas, Qualtrics chief people officer

Anas, who joined Qualtrics at the beginning of this year, said the hybrid model will allow the company to combine the best virtual productivity and collaboration practices with the best parts of an in-person office culture. The only exception to the new hybrid policy is for employees that were already remote pre-pandemic and “will continue to be supported working remotely,” the company said.

Qualtrics breaks from other tech companies that are rolling out fully remote policies, like Atlassian or Dropbox. Google originally announced a hybrid model, but said that it would be more flexible after some employees threatened to quit if they couldn’t remain remote.

Adapting to a hybrid-work model

Qualtrics said most offices won’t fully reopen until September 1, which is when its new hybrid model will officially take effect, though it will reopen the Australia office on July 1, given that the country has largely contained the virus. Given that it has offices around the world, it will monitor the COVID situation for each location.

Both Serafin and Anas said the number one thing leaders are focused on as it implements a hybrid model is listening.

“Listening is leading,” Serafin said. “Employee engagement improves by about 90% when employees see meaningful action, that’s being taken on their feedback.”

It seems obvious, but being intentional about it is important, he added.

Qualtrics isn’t directing employees to come in on any three specific days and will instead let managers set those guidelines for their teams. It’s also leaving it up to managers to decide what meetings will still be virtual and which will require in-person collaboration. There will be a lot of trial and error as people return to offices and Anas plans to continue gathering employee feedback throughout that process.

The company also plans to redesign offices and put in more types of collaboration and meeting spaces, so people can get the most value out of going to the office. For example, even pre-pandemic Qualtrics had a dedicated space in all offices for all-hands meetings that included screens that allowed workers to see their colleagues from other offices.

Serafin envisions more spaces like that – and bringing more virtual collaboration tools into offices – but acknowledges that the process will be iterative as different teams like design, engineering, and sales figure out what works best for them.

Qualtrics Headquarters
Qualtrics Headquarters in Provo, Utah

Qualtrics’ unique advantage for attracting talent

Qualtrics’ new hybrid model also enhances what it says is one of its unique advantages, which is that it is not based in Silicon Valley. The company is headquartered in Provo, Utah and has offices in places like Seattle, Dallas, and various international locations.

Newer tech hubs like Provo were already challenging Silicon Valley’s dominance and that’s continued as remote work allowed many tech workers to move to lower cost areas outside of Silicon Valley.

Moving to a hybrid model makes Qualtrics an even more attractive option for those who want flexibility but also the option to go into an office when they want, Serafin said.

“We invested in offices in places that are fun to be in with some of the most amazing cities and locations in the world, so you’ll find talent there,” he said.

Anas also saw that several aspects of the company’s culture improved over the last year, like manager effectiveness and inclusivity. Serafin attributes some of that to the fact that meeting virtually allows for more people to join in a conversation or a decision making process.

“You actually end up inviting more voices to be a part of the conversation with collaboration, the decision making,” Serafin said. “That obviously recognizes talent and you can take advantage of that as part of how you’re innovating as a company.”

Do you work at Qualtrics? Contact this reporter via email at pzaveri@insider.com or Signal at 925-364-4258. (PR pitches by email only, please.)

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U.S. Industrial Production Climbs Less Than Expected In April

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(RTTNews) – Industrial production in the U.S. increased by less than expected in the month of April, according to a report released by the Federal Reserve on Friday.

The report said industrial production climbed by 0.7 percent in April after soaring by an upwardly revised 2.4 percent in March.

Economists had expected industrial production to surge up by 1.0 percent compared to the 1.4 percent jump originally reported for the previous month.

The increase in industrial production was partly due to a rebound in utilities output, which spiked by 2.6 percent in April after plunging by 9.0 percent in March.

Manufacturing output also rose by 0.4 percent despite a drop in motor vehicle assemblies that principally resulted from shortages of semiconductors.

“An important contributor to the gain in factory output was the return to operation of plants that were damaged by February’s severe weather in the south central region of the country and had remained offline in March,” the Fed said.

The report also showed capacity utilization in the industrial sector rose to 74.9 percent in April from 74.4 percent in March. Economists had expected capacity utilization to climb to 75.0 percent.

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The chip shortage that’s wreaking havoc on supplies of cars, computers, and more could last another 2 years, experts say

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FILE PHOTO - A researcher plants a semiconductor on an interface board during a research work to design and develop a semiconductor product at Tsinghua Unigroup research centre in Beijing, China, February 29, 2016. REUTERS/Kim Kyung-Hoon
A researcher plants a semiconductor on an interface board during a research work to design and develop a semiconductor product at Tsinghua Unigroup research centre in Beijing

  • Semiconductors are an increasingly important component of products from laptops to lightbulbs.
  • Surging demand and disrupted supply have led to a severe lack of chips for a variety of industries.
  • Industry leaders and analysts are forecasting at least another year of shortages.
  • See more stories on Insider’s business page.

Semiconductor chips are in almost everything these days.

As Glenn O’Donnell, a vice president at Forrester Research, put it, “if it has a plug or a battery, it is probably full of chips.”

The global chip shortage that is jamming up auto manufacturers is rippling across nearly every industry that makes or uses tech-enabled products.

In particular, analysts say the boom in cloud computing and cryptocurrency mining, as well as the embedding of smart features in everything from doorbells to dishwashers, has led to a gold rush in the sector.

Read more: Auto Chip Crisis Is Threatening Recovery From the Pandemic

But a combination of factors have pinched the supply as demand continues ramping up, leading to severe shortages that industry leaders and analysts say could drag out into 2023.

We are looking at couple of years… before we get enough incremental capacity online to alleviate all aspects of the chip shortage,” IBM President Jim Whitehurst told the BBC. His company licenses microprocessor technology to the world’s leading chip makers.

Last week, Reinhard Ploss, CEO of German chipmaker Infineon, told CNBC his industry has never seen conditions like these, but that two years to normal seemed “too long.”

Other firms have painted even rosier forecasts – Taiwan Semiconductor Manufacturing Company (TSMC), the largest chip maker, said it expects to catch up with auto industry demand next month, and Cisco CEO Chuck Robbins, told the BBC the shortage would wind down later this year.

Analysts, however, are skeptical.

“Because demand will remain high and supply will remain constrained, we expect this shortage to last through 2022 and into 2023,” O’Donnell wrote on a Forrester blog. “We see nothing but boom times ahead for chip demand.”

Plurimi Investment Managers CIO Patrick Armstrong told CNBC he expects another 18 months of shortfalls.

“It’s not just autos. It’s phones. It’s the internet of everything. There’s so many goods now that have many more chips than they ever did in the past,” he said. “They’re all internet enabled.”

New production is coming online, with a $20 billion spend from Intel and a $28 billion investment from TSMC, but that does little to solve the immediate challenge facing the market right now.

Nobody is literally filling trash bags or gas cans with semiconductors, but Credit Suisse’s director of global economies and strategy, Wenzhe Zhao, said last week that inventory hoarding along the production chain is making a tight supply situation even worse.

For now, Forrester’s O’Donnell recommends tech buyers be patient, pay more, pick an alternative product or service, or make do with older tools until things return to normal.

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