October 22, 2021

Beyond Going Long

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A new smartphone under the Christmas tree? Lack of chips can narrow the selection

Chips and electrical components missing in the market affect many industries. The auto industry is perhaps the most visible. Many automakers will announce that they will limit or cut vehicle production. Manufacturers of consumer electronics, including smartphones, of course also rely on chips.

The shortage of semiconductor components has also affected the smartphone industry, it is not immune to it. However, mobile phone manufacturers have been able to partially adapt to the shocks in the supply chain.

The market situation has not had a significant negative impact on their business. But the last months of this year may look different. research company Counterpoint Research Based on the semiconductor crisis, it has revised its forecast for smartphone sales for the year.

The updated report estimates that manufacturers will supply their customers this year 1.41 billion smartphones. At the same time, it originally expected 1.45 billion units to be delivered. Analysts said the shortage of chips is starting to hit the smartphone industry hard.

Zdroj: Counterpoint . Smartphone Quarterly Forecast

According to Counterpoint Research, some manufacturers captured only 70% of the volume needed for parts they ordered from suppliers in the third quarter. Compared to the second quarter, they were offended when they managed to secure 80% of the chips. According to analysts, the vast majority of companies that develop and manufacture smartphones suffer from this problem.

The necessary slowdown in smartphone distribution may come at the worst of times, in the run-up to Christmas, when consumer electronics are in high demand. Many new consumers will want to find a new smartphone under the Christmas tree.

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It certainly won’t happen that they won’t find anything on the market. However, they do not have to access the preferred form. Samsung is expected to eventually cancel the rollout of the Galaxy S21 FE, which has been on the rise since April. But if you want to give yourself a new iPhone 13 from Apple, this shouldn’t be a problem.

Research Director Tom Kang said Apple is the most resilient company in the context of the semiconductor crisis and that component shortages affect it less.