Looking at Ordering New Business-Grade PCs or Servers in the Next Year? The Time to Order is NOW.

Looking at Ordering New Business-Grade PCs or Servers in the Next Year? The Time to Order is NOW.

By Kelly Gillespie

If you have tried to order business-grade electronics lately, you may have noticed there are slim pickings out there in some categories. This is due to a shortage of processors and other electronic components. The IT and cybersecurity industries aren’t the only ones that have been hit. Everything from gaming consoles to the auto industry has been affected.

So, what has caused this shortage and when will it end? The answer to that question is not too complicated, but it does have layers.

As of January 14, 2020, any computer running Windows 7 still functions, but Microsoft no longer provides technical support for any issues, software updates, or (what we consider the biggest issue) security updates or fixes for businesses. This means any business with Windows 7 PCs now has unlocked doors and windows to their IT and cyber networks. Unfortunately, many of these businesses waited until the last minute to replace their laptops and desktops. That meant millions of PCs being replaced globally from late 2019 to early 2020.  Computers were being put on backorder and stocks started to run low.

In addition, Windows Server 2008 went end of life the same month. So, now servers needed to be replaced as well. Server stocks were being depleted not quite as fast as the PCs, but the components still needed to be made to keep up with the demand. This puts even more strain on the PC and laptop markets already struggling to keep up.

Now, don’t forget to layer in the global pandemic that slowed manufacturers to a crawl at best, and shut them down for weeks (if not months) at worst. The shortage of parts only got worse. On top of manufacturing facilities unable to produce at full capacity, shipping was also limited as facilities struggled to keep their workers safe and healthy.

So, what about now? In a nutshell, the industry has not fully recovered just yet. Computers and other electronics are still in short supply. If you want to replace your systems later this year or even early 2021, the time to start ordering is now. It is not uncommon for us to see certain equipment backordered for up to 6 months.

What can you do to ensure you are sticking with your life cycle plan for your system over the next year? Contact your business consultant here at Networks Plus and we will work together toward your timeline and finding the right options for your business. Email us at consulting@networksplus.com and we will set up an appointment to discuss your priorities over the next year.

For more information on affected industries, you can visit this article: What’s causing the chip shortage affecting PS5, cars and more? (cnbc.com)

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