Continental cell phone company bosses warn: cell phones to increase prices

The bosses of mainland cell phone companies have warned that cell phone prices will be adjusted upward due to shortage and price increase of chips and other raw materials.

According to an interview after a new product launch, Xu Qi, president of China’s smartphone realme China, said in the April 2 report by Mainland Express Technology that cell phone prices may fluctuate in the second half of this year due to the shortage of raw materials such as chips, batteries and sleeves in the upstream of the cell phone supply chain, and that the overall supply and demand in the second half of the year will determine the price direction of the entire cell phone industry.

Prior to that, on March 30, Lei Jun, chairman and CEO of Xiaomi Technology Co., Ltd, which produces Xiaomi cell phones, also warned that not only is there a shortage of cell phone chips, but there is a global shortage of whatever chips are available, and this shortage may last for two years, and consumers may feel that consumer electronics products are becoming increasingly difficult to buy, and also more expensive.

Foxconn, one of the world’s largest foundry, also recently said that the chip shortage will reduce its shipments by 10%.

The report said that not only the chip shortage has affected a number of industries such as PC, cell phones and automobiles, but also caused a significant increase in the price of related products such as graphics cards, which have almost tripled.

Chip shortage has affected the cell phone industry, cell phone products are increasingly difficult to grab, especially the flagship products of some products, the flagship products equipped with Snapdragon 888 chip on the market now almost need to be snapped up.

The report said that the comprehensive existing situation, cell phone products will most likely start to usher in price changes after June.

Not only the cell phone industry, the mainland home appliance industry due to chip shortages and copper, plastic and other raw material prices have been raised retail prices, and the mainland toilet paper industry has also issued an announcement that will start from April 1 will increase prices, some people even said, to stock up on toilet paper.