Qualcomm is raising chip prices, says it can no longer absorb rising costs from suppliers
The wave of rising gadget prices may not be slowing down anytime soon. After Apple, Samsung, Google, and Microsoft either increased prices or hinted at
The wave of rising gadget prices may not be slowing down anytime soon. After Apple, Samsung, Google, and Microsoft either increased prices or hinted at hikes due to rising component costs, Qualcomm has now joined the list. The chipmaker has reportedly informed customers that it plans to increase the prices of its products starting September 1, a move that could eventually make smartphones, laptops, and other devices more expensive. Read Full Story According to a report by Bloomberg, Qualcomm has sent a letter to customers warning that prices will rise by a "double-digit percentage" for products shipped after September 1. The company said it has "exhausted its ability to absorb higher costs from suppliers" as the global shortage of key components continues to push manufacturing costs higher.
Qualcomm also noted that it had tried sourcing parts from alternative suppliers before deciding on the price increase. India Today Tech has reached out to Qualcomm for a comment. Qualcomm says supplier costs leave it with no choice Qualcomm powers a large share of the smartphone market, supplying processors for flagship Android phones from brands such as Samsung, Xiaomi, OnePlus, and many others. Beyond smartphones, its chips are also used in Windows PCs, smart glasses, automotive systems, and IoT devices. While Qualcomm has not revealed exactly how much more each chip will cost, the company confirmed that the increases will apply to products shipped from September onwards.
Device makers that rely on Qualcomm processors may either absorb the additional cost or pass it on to buyers through higher retail prices. More expensive phones may be on the way The announcement adds to a broader trend across the consumer electronics industry. Rising prices for memory chips and other key components have already forced several companies to revise prices or rethink product strategies. Recently, Google’s Vice President of Devices and Services, Shakil Barkat, confirmed that the upcoming Pixel 11 price series will cost more than its predecessor. In other big names, Apple, Samsung, Microsoft, Nintendo, and even Raspberry Pi products are expected to see higher prices due to ongoing component shortages.
In some cases, companies have also reduced hardware specifications while increasing prices to offset rising production costs. Take one example, the upcoming Pixel 11 Pro, which leaks suggest may cost $100 more than its predecessor but is said to ship with 12GB RAM, down from 16 GB. With Qualcomm now raising chip prices as well, consumers could see the impact across a wider range of smartphones and other electronics launching later this year and beyond. Ends
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