[exmadscientist]

I don't have insider information or anything, but I'm convinced that packaging is a huge part of the problem. There are many more wafer fabs than packaging houses, packaging hits high-volume low-margin parts much harder, and everyone routes through the same (lowest cost...) houses in the same tropical low-wage countries because packaging dice is basically a commodity service.

Except that now there isn't enough capacity to go around.