Broadband routers may also be in short supply.

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Broadband routers may also be in short supply.

If you find a great deal on a wireless router and feel the need to upgrade, don't hesitate too long before making a purchase. Broadband routers could be the next hardware to be affected by the global chip shortage that is currently hampering the availability of the latest generation CPUs, GPUs, and gaming consoles.

According to a source who spoke to Bloomberg about the matter, this has already happened to Internet service providers (ISPs). According to that source, ISPs are facing delays in ordering broadband routers of up to 60 weeks, which is double the previous lead time. [So far, there is no indication that the chip shortage will affect availability of standalone consumer routers; Amazon, Newegg, and others have plenty of Wi-Fi 6 (802.11ax) and Wi-Fi 5 (802.11ac) models in stock. However, as we have seen with other types of hardware, things can change quickly.

For now, ISPs are bearing the brunt of the chip shortage that applies to wireless routers. In some cases, ISPs may have to turn down new customers if the situation does not improve and their inventory runs out.

Karsten Gewecke, senior vice president of Zyxel, a major player in the router market, noted that the pandemic is primarily responsible for shutdowns within the supply chain. In addition, Zyxel's manufacturing facility in China was temporarily shut down during the first Covid-19 outbreak more than a year ago and has been operating on a spot basis ever since.

The situation has been further exacerbated by increased demand for consumer broadband hardware as more people work from home. In addition, a Zyxel router is among the cargo of the Evergreen-owned container ship Ever Given, which got stuck in the Suez Canal and is now in custody.

"It just snowballed right in front of us, and things have been getting worse and worse since then," says Gewecke.

"Talking to some of the chipset vendors, some say they are overbooking by 300 percent of capacity."

Currently, not a single ISP has run out of broadband router inventory yet, but Gewecke says that could happen in the next few months.

"We've come close a few times," Gewecke added.

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