Chip supply is running far behind demand as AI soaks up money, people, power, and factory space — good for chipmakers, tough for everyone else buying chips.

• Vanguard International Semiconductor says its eight-inch factory lines are completely maxed out, and customers still want more.
• The AI spending wave is pulling cash, talent, electricity, and chip capacity away from non-AI products, squeezing them out.
• This looks different from past chip cycles — no clear seasonal ups and downs, just steady strain that could last years.
• Almost no chipmaker anywhere, in Asia, the Americas, or Europe, can say it has enough capacity right now.
• Some in the industry think demand may outrun supply all the way to 2028 or even 2030.

Outlook: Tight chip supply and rising prices look set to continue, with advanced packaging parts like silicon interposers adding to the crunch because they eat up more factory space per wafer.