Hurricane Helene's impact on Spruce Pines, North Carolina, has raised concerns about the global semiconductor supply chain, as the town is a key source of high-purity quartz. This specialized quartz is essential for manufacturing silicon wafers and the tools used by major chipmakers, including Micron Technology, Intel, and TSMC.
The storm's devastation halted mining operations in Spruce Pines, creating a potential bottleneck for the industry. Peter Hanbury, a partner at Bain & Company, noted that while the industry typically maintains several months of inventory, a prolonged disruption beyond six months could have significant consequences.
Chipmakers are known to proactively identify and mitigate such supply chain risks, often by holding additional inventory. The full extent and duration of the damage, and thus the long-term impact on Micron's operations, remain under assessment.
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