Will smartphone prices go up this new year?

The pandemic continues to wreak havoc. During the course of this there have been numerous occasions in which companies from different technological sectors have emphasized the lack of chips for the development of devices, something from which mobile telephony has not escaped.

If you are thinking of buying a smartphone, you should know that you will hardly find it as cheap as you expected. The prices of mobile phones are expected to increase this new year 2022. This is mainly due to the absence of chips that are used by the vast majority of current technology.

Will smartphone prices go up this new year

No chips for anyone

The huge number of devices that are sold day after day use an excessively high number of chips. Terminals are not the only ones affected by this event. Graphics cards, consoles and cars are three examples of computers that are noticing the lack of these.

The case of mobile devices is more worrying, since they are used by millions of people and units are sold at a very high rate. This means that telephone companies must have enough supply to avoid problems in the coming months.

Chip de placa base

Another problem due to this deficiency is that TSMC, (Taiwan Semiconductor Manufacturing Co.), the company in charge of manufacturing these chips for brands such as Apple or Qualcomm, sells the chips to the latter at a higher price. This forces them to sell their product at a higher cost and may not be very funny to the end customer.

Eye to energy

Energy plays a key role in this equation. European companies based in China predict that the energy crisis in which we find ourselves will last until March of this year. This has caused blackouts in some areas of the eastern country.

If the energy to produce a telephone, electricity for manufacturing and gasoline for transportation costs the company more, it is obvious that these losses will affect the consumer, as shown by the inflation to which we are subjected.

The climb has already begun

This problem is not something new, it has been going on for a while. In fact, Xiaomi itself has already started to raise the prices of some of its phones. It’s a no-brainer, if it costs more to make components, the price of the device goes up.

The Chinese company warned that the consequences had been critical, being hit hard by the shortage of components . It should also be borne in mind that it is one of the brands that achieves the least profit due to the low price of its devices. However, this is something that is already changing as price increases have occurred in countries like India.

It is still unknown for sure if these increases will reach Spain , but it is most likely that they will come true. Regarding other providers such as Samsung or Apple, it may not execute this measure in such a noticeable way, since the profit margin of these is much higher.