Understanding the global component shortage

The COVID-19 pandemic has impacted manufacturing on a global scale, including the production of microchips.

Washing machines, mobile phones, cars, electric toothbrushes, refrigerators and almost anything electric, including our Pixel Controllers, are all powered by these microchips.

Even before the pandemic, demand for chips exceeded supply, however, the shut-down of manufacturing for months at a time and major disruption to global logistics supply chains due to COVID-19, has meant that the production and supply of these chips has been severely impacted globally. This, coupled with a notable increase in consumer demand for electronics, means the backlog for chips is at an all-time high.

This shortage has led to an increase in chip price globally, as manufacturers attempt to meet demand and fill supply gaps.

Click here to watch a short video from CNBC about the global component shortage.

How does this affect Advatek and its customers?

With limited access to the chips and other fundamental electrical components that power our Pixel Controllers, we have added a temporary surcharge to the six products in our PixLite® range that are affected by significant price increases and supply difficulties. This surcharge, which is expected to last until 2022 will contribute to the increased cost we are currently paying to secure the limited number of microchips that are available.

We are committed to returning our prices back to their RRP as soon as possible – which is why we’ve only introduced a temporary surcharge as listed below, and not permanently adjusted our prices across the board.

What Advatek products are affected?

The following PixLite® products are affected by the temporary surcharge (USD and AUD):

Note: Surcharge effective from 10/09/2021

Any questions?

We are always here to help you with any questions you may have.

Contact us for any help with your pixel lighting project.