Xiaomi smartphones may rise in price due to the lack of components

Xiaomi President Wang Xiang did not rule out the likelihood that in the foreseeable future, the cost of certain models of the company’s smartphones will rise for end consumers.

The reason is the observed deficit of microchips. A few weeks ago, Xiaomi complained about a shortage of application processors and other cellular devices, including RF modules and power circuit chips.

In particular, they talk about the shortage of Qualcomm chips used in many Xiaomi smartphones. It is unlikely that the situation will significantly improve shortly.

Mr. Xiang noted that Xiaomi continues to optimize the cost of the hardware of its mobile devices. At the same time, the head of the company said that the increase in the cost of components might partially fall on the shoulders of consumers in a certain situation. In other words, Xiaomi does not exclude the possibility of price increases for smartphones in the current environment.

The shortage of chips for smartphones and other electronics is due to several reasons. This is a pandemic that has severely affected the production of components. Also, the US sanctions against Chinese companies hurt the market.