Chip shortage has started to affect the production of smartphones and OLED displays

Manufacturers of smartphones and other consumer electronics are reporting a shortage of memory chips for such technology. If earlier the deficit concerned primarily more advanced models of microprocessors used in cars or PCs, now we are talking about a shortage of simple chips for various gadgets. Many companies have already reported production cuts and price increases, and have postponed the launch of new smartphone models.

Google said that its new Pixel 5a 5G smartphone, which will hit the market later this year, will only be available in the US and Japan, while earlier models of such smartphones were available in many countries right away. According to analysts, the world’s largest smartphone maker Samsung Electronics will face a 20% decrease in smartphone shipments from the previous quarter due to a shortage of microprocessors. It is also reported that chip shortages are already being faced by manufacturers of OLED displays, which are used in most expensive TVs and in about half of all smartphones.

According to The Wall Street Journal, referring to the opinion of analysts, the shortage of chips and the rise in prices for them can somehow affect about 80% of manufactured smartphones. This shortage is unlikely to affect Apple’s gadgets and Samsung’s flagship models, but for more budget models the impact can be quite significant. According to research firm Strategy Analytics, the average wholesale price of smartphones in the second quarter has already increased by 5%. For comparison: in previous years, this growth did not exceed 2%.

Read more about the lack of chips – in the material of “Kommersant” “Chip is frightening counterfeit.”

Yana Rozhdestvenskaya

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