In Depth: The Sudden Reversal of the Global Chip Shortage

Remember the global semiconductor shortage a few months ago? It’s over.

Now quickly shrinking demand for consumer electronics is causing canceled orders and unsold stockpiles at makers of integrated circuits including Taiwan Semiconductor Manufacturing Co. (TSMC), Advanced Micro Devices Inc. (AMD) and Nvidia. It’s a stark contrast with the disruptions that chip shortages caused for makers of autos, smartphones, computers and other goods relying on the advanced electronic devices.