The chip shortage will mostly hit low-cost smartphones, hardly touching the flagships

The crisis in the chip industry will greatly affect the pricing of smartphones this year. Manufacturers of mobile devices due to the rise in price of components will be forced to raise the prices of their products. However, it is interesting that the biggest jump will be felt by buyers of mid-range and entry-level devices.

According to researchers from Counterpoint, just the rise in price of chips will increase the cost of cheap devices from 8 to 16 percent, while expensive devices will become more expensive by 5-12 percent. In addition, an important pricing factor will be the class of chips. Cheaper chips will have a higher price, as their manufacturers began to raise prices for their products last year by an average of 30 percent. Taking into account the current jump, the final rise in price may reach 50 percent. However, 5-nanometer chips, on the contrary, have fallen in price slightly, while prices for 7-nanometer chips have remained at the same level.