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Chip shortage leads carmaker Opel to shut German plant until 2022

reuters.com

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Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#91

Edit: Too many downvotes for my view that this Opel case is yet another symptom of the wrong handling of the panedmic by any governments, leading to inflation and supply chain disruptions. If opinions are downvoted then I do not need to participate.

Remember the 70s oil crisis? People stopped working because there wasn't enough energy to keep businesses and therefore jobs open. If there aren't enough semiconductors then those car factories won't stay open no matter what you do.

Also regarding laying off people. Germany kept unemployment below 4% during the entire pandemic because of its more flexible labor market mechanism known as Kurzarbeit that allows people to work less during economic crises. The rigid labor market in the USA encourages employers to lay off entire people rather which tends to fuel recessions, make them worse and delay recovery. Just think about how inefficient it is to lay people off, pay them to do nothing, do massive state intervention through a rent moratorium and then hire them again. The unemployed still need housing and food. The idea that there is something more productive than producing food for them is laughable.

>This would have been "mean" in the short-term, but good for the entire society in the mid- and long-term.

I don't get it. Paying people unemployment benefits is the long term strategy. We give people food stamps because if they starve to death they won't be able to work at all. Even if they stay on welfare their children will have a better shot at life. Abandoning them is the height of short term thinking.

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#92
post #21

What I'll never understand is why carmakers don't take advantage of this situation and address a market that's been literally BEGGING for decades for a new product: A simple, basic car, with the ONLY electronic control being for: - Valve timing - Fuel injection - Oxygen and throttle - Emissions There's a market for budget and privacy oriented customers that all carmakers seem to have ignored for two decades now. Give…

There are two practical issues with your suggestion. One is that neither one of us have any idea of the electronics BOM breakdown between the various parts of the car, and whether the effect of shortage would be mitigated in a meaningful way if the entertainment stuff was simplified. And you can't legally sell a new car in the US without back-up cameras and tire pressure monitoring. The second issue is that re-design…

Especially since the chips experiencing horrible shortages are the cheap simple ones used for those dumb features no one even thinks about anymore.

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#93
post #70

Earlier quoted context omitted.

Is the _market_ begging, or a few folks on the internet? The only folks I know that complain about technology in cars are a couple posters on internet forums.

Sure, lots of internet people who don't want to be tracked (license plate readers notwithstanding). But also plenty of IRL people complaining about how, for example, they miss their $10k pickup with no power anything that worked great for anytime they needed to haul material X from location M to N, but now you need to drop a minimum of $50k for a vehicle you might use once per weekend to haul gravel, insulation, ceme…

You can still get a stripped down, plain white F-150 for under $27k through fleet sales. But buyers don’t want that. They want the 4-door people hauler that happens to have a pick-up bed and leather seats.

They’ll imagine the $10k from memories but forget the vinyl seats, no AC, and manual windows. But they won’t buy that one n

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#94
post #27
post #21

What I'll never understand is why carmakers don't take advantage of this situation and address a market that's been literally BEGGING for decades for a new product: A simple, basic car, with the ONLY electronic control being for: - Valve timing - Fuel injection - Oxygen and throttle - Emissions There's a market for budget and privacy oriented customers that all carmakers seem to have ignored for two decades now. Give…

most things you mention are mandated by the government, you can't sell a car in any western market without tire pressure monitoring, stability control, back up camera etc. the manufacturers have no choice, it would be like suggesting they sell cars without seatbelts.

I hate tire pressure sensors, they are amazingly flaky and makes you uneasy about driving. That and the stupid alarms in my car that informs me that the temperature is below 4 degrees, it disturbs my driving.

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#95
post #71

Earlier quoted context omitted.

First of all this "simple" car may end up being more expensive. Doing a lot of the things the old mechanical way requires a lot of labor and labor is expensive nowadays. Having to use turning wires and vacuum tubes for instrument clusters, and a bunch of pull wires for controls... Not only would that be expensive it would require skills and equipment long lost today. Oh and the wind shield wipers -- it is possible to…

That maybe true, but my anecdotal evidence is the opposite. > cars used to break down much more often and require much more skilled maintenance. My '78 John Deere 4640 (not a car I give you that) if it breaks down, I can fix it. If I cannot I can order the part. If I cannot, I can have the part made within a week. None of that is possible with a 2021 6145M. If it breaks, I have to sit and wait for JD to bless me with…

Indeed. We have an aging Audi that has adaptive cruise control. Recently the radar unit failed. To get it replaced at a dealer will cost about half of what the car is worth.

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#96
post #21

What I'll never understand is why carmakers don't take advantage of this situation and address a market that's been literally BEGGING for decades for a new product: A simple, basic car, with the ONLY electronic control being for: - Valve timing - Fuel injection - Oxygen and throttle - Emissions There's a market for budget and privacy oriented customers that all carmakers seem to have ignored for two decades now. Give…

Every time I hear about self-driving, I just think how bad every media system UI and functionality of BT, etc. in cars have ever been. I know it's probably different teams and much stricter standards for self-driving but all I ever think when using my Mazda's media center is 'fast chance I trust this team with self driving'. As far as media centers go, just make apple carplay / android auto standard...

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#97
post #59

Earlier quoted context omitted.

tire pressure sensor, gps and e-call is needed by law.

Maybe we should amend/change those laws back.

Perhaps we shouldn't.

The EU estimates that half the fatalities on the road will be prevented with these systems. That's 10.000 lives each year. If that's true, increasing the cost marginally is more than worth it (and it really is marginally, budget cars have not noticably increased in price).

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#98
post #10

Man - the magnitude / impact of these chips shortages on autos in particular is crazy. Regardless of Opel popularity, in the US the F-150 was a best selling vehicle and massive cash cow and they had unfinished vehicles sitting out. These chips have GOT to be a relatively low margin / somewhat lower cost item (ie, feature size can be large). What a miss not to have more coverage for them.

200mm tapeouts have briefly became more profitable than leading edge ones on the wave of panic buying. On my side, I lost a lot of firmware devs to poaching by companies migrating between microchip brands, and ready to pay just anything, to the point of me myself being tempted.

Heck, why not? It’s a market economy and we are a commodity. Why resist your price going up?

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#99
post #37
post #21

What I'll never understand is why carmakers don't take advantage of this situation and address a market that's been literally BEGGING for decades for a new product: A simple, basic car, with the ONLY electronic control being for: - Valve timing - Fuel injection - Oxygen and throttle - Emissions There's a market for budget and privacy oriented customers that all carmakers seem to have ignored for two decades now. Give…

I can't imagine anyone would want the car you described, for market-sized values of "anyone"

This feels like the Microsoft Word problem - Word users only use N% of Microsoft Word, the rest is needless bloat wasted on them. The problem is that the N% of features is different for each user.

Some people like blind spot monitoring, others are annoyed by it. Some people need to have satellite radio, others never use it. Some people won't buy a car without Apple CarPlay, others would never so much as buy an Apple product. And so on... but for your product to appeal to customers in general, you need all of the features.

Re: Chip shortage leads carmaker Opel to shut German plant until 2022

#100
post #21

What I'll never understand is why carmakers don't take advantage of this situation and address a market that's been literally BEGGING for decades for a new product: A simple, basic car, with the ONLY electronic control being for: - Valve timing - Fuel injection - Oxygen and throttle - Emissions There's a market for budget and privacy oriented customers that all carmakers seem to have ignored for two decades now. Give…

In the United States backup cameras, tire pressure monitors, and electronic stability control are required by law. So out of your list that leaves.. GPS (already optional on most cars) Ass warmers (already optional on most cars) Telemetry (this could be removed from models that have it, not all cars sold today have telemetry) USB chargers (really don't think USB chargers are causing a production shortage at this mome…

I tried to buy a car without AC, but as it turns out that’s almost impossible. They had never imported that model without AC and the waiting time was pretty long, because they where not really built in large numbers.

The models without AC mostly exist so they can produce ads saying “available from less than X“

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