Intel Chief Executive Officer Pat Gelsinger has predicted that the ongoing chip shortage will hit bottom in the second half of this year before the situation begins to eventually improve, reported Bloomberg.

With the pandemic moving people and their work online, the demand for modern electronics has also risen across the globe. This shift to digital system has placed a lot of pressure on the semiconductor industry, which has found it difficult to cope up with growing demand.

Gelsinger explained in an interview that he does not expect the chip industry to bounce back to its healthy supply-demand situation until 2022. “For a variety of industries, I think it’s still getting worse before it gets better," he was quoted as saying.

Being the largest chipmaker in the world, Intel has a central role to play in ensuring smooth operations across various data centers and corporate networks across the globe. While the company is in a better place as compared to others in meeting this increase in demand, it is important to note that the supply of other computer parts has also fallen short, further exacerbating this issue.

Gelsinger also claims that the current growth in the demand for chips is not a short-term occurrence and other supply crunches might continue to impact the industry in the future.