The technology used in semiconductors – or microchips – first originated in the 1800s when the first AC-DC converter was invented. However, thanks to advances in tech, it’s in the last few decades that they’ve become part of our everyday lives.
Now, semiconductors – specifically, the shortage of these semiconductors – is having a significant impact on the motoring industry. And as Taiwan recorded a 6.8-magnitude earthquake recently, the trading markets waited to hear from the world’s largest contract chip maker to see how it had fared.
But what makes these microchips so integral to not just businesses, but industries?
Why semiconductors are so important
There are a few reasons why semiconductors are an important component. Semiconductors were first used in transistors in 1947 to control the flow of electricity in electronic devices. This was the starting point for integrated circuits, which we now use in everything from mobile devices to industrial-sized computer servers.
They’ve only increased in their importance over time as we’ve come to rely more on electronic devices and – crucially – computer technology. From transistors used in smartphones and laptops to semiconductors used in new cars and TVs, these microchips power the things we use daily.
And it’s not just our computing tech. They’re in microwaves and white goods and power our LED lighting. We rely on these components for almost every electronic device we encounter.
The benefits of semiconductors in business
With all of this in mind, it’s easy to see why businesses need semiconductors to operate smoothly. Every sector that uses computers, from retail to marketing, will depend on these components.
They have plenty of plus-points. First up, in computing – and businesses that use any computer tech – semiconductors help your machine run smoothly. Likewise, semiconductors are essential for smartphones. From the display to whether it’s a 3G or 4G reception, this information all depends on microchips.
The hardware used in semiconductors also helps with digital security. For instance, those used in even the most streamlined cameras operated by single-board computers can go a long way towards offering security alerts.
Semiconductors play such a vital role in the tech used in a range of industries, from education to healthcare. As well as the points outlined already, they also speed up processes, saving time and making tasks easier for employees. In some areas, they make products more attractive too, for instance in the motoring sector where models depend on this tech to operate.
Semiconductor tech has changed the world
The industries that use semiconductors have come to rely on these microchips. We use them every day, from the moment we pick up our smartphone in the morning to when we turn off the TV before bed.
Without this tech, businesses would have to revert to traditional methods, and everything would be much slower. Everything from deliveries and logistics to banking would be transformed.
As we’ve seen with the motoring industry, when there’s a shortage of microchips, predictions change and there can be a knock-on effect with output. This, in turn, can affect employees as their job roles change.
Semiconductors might be tiny components, but they have a huge effect on how the world operates today.
