In 2021, Samsung may significantly reduce the production of smartphones. Reported by Reuters.
Qualcomm, one of the leaders in the semiconductor market, cannot supply Samsung with the required number of processors. Two sources in the American company told the agency on condition of anonymity. The demand for Qualcomm chips has grown sharply in recent months, the company cannot provide partners with the necessary number of processors due to a lack of components for their production.
In particular, the insider said that there is a shortage of the flagship processor – Snapdragon 888. Another source in the company predicted that due to the shortage of chips in general, Samsung will have problems with the production of smartphones in low and medium price segments. A Samsung spokesperson contacted by reporters declined to comment. Qualcomm said the company intends to address supply issues in the future.
“Demand still largely outstrips supply,” Qualcomm CEO Cristiano Amon said at the AGM last Wednesday. According to analysts polled by Reuters, the shortage of microprocessors increases the cost of even the cheapest chips. For example, a microcontroller chip from STMicroelectronics, originally priced at $ 2, now sells for $ 14 a piece.
Also, the Korean corporation is experiencing problems due to force majeure circumstances. For example, Samsung’s radio frequency transceiver plant in Texas was forced to shut down in February due to power shortages caused by winter storms.