Lessons from Other Industries
What can earlier supply crunches in semiconductors, aircraft engines and munitions teach the space industry?
Chapter summary
three lessons recur.
Key takeaways
- 1
First, shortages last longer than demand surges, because qualified capacity takes years to add: the 2021–2023 chip shortage, the aircraft engine castings and forgings shortage and the artillery shell shortage after 2022 each lasted two to four years.
- 2
Second, small, cheap parts cause outsized delays, as legacy chips did for cars.
- 3
Third, the fix combined long-term purchase commitments, government co-investment and design changes to reduce dependence on the scarcest parts.
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