Learn how T-glass, a critical material for chip substrates, faces supply chain risks from limited production, potentially affecting processor availability and prices globally.
© D. Novikov
The global technology sector could face a new supply chain risk that might affect the cost and availability of processors. This involves a specialized thin glass fiber fabric used in manufacturing chip substrates.
According to The Wall Street Journal, this material, known as T-glass, serves a crucial mechanical function—it prevents circuit board deformation under heat and external pressure. Even minor distortions can damage solder connections and cause chip failures, making this glass fiber essential for processor production.
The issue lies in T-glass being produced almost exclusively by Japanese company Nitto Boseki. Growing demand from the semiconductor industry has hit limited production capacity that cannot be quickly expanded. As a result, material prices have already started rising, and supply disruption risks are increasing.
Sources indicate major market players are also concerned. For instance, companies like Apple have reportedly considered direct negotiations with T-glass manufacturers to mitigate shortage threats.
While it remains unclear whether material shortages will lead to sharp price increases for processors and other components, experts suggest the problem could impact the entire supply chain—from server solutions to consumer PCs and laptops.