Smartphone sales are decreasing due to chip shortages

According to new research by Canalys, global smartphone sales fell 6% this quarter. A decline not due to lack of demand, but caused by a shortage of chips around the world.

The pandemic has had a very negative impact on all supply chains, and the chips have been particularly hard hit. Canalys lead analyst Ben Stanton says manufacturers are trying to keep up as best they can, but the shortage of chips it’s a serious problem right now.

Chipset makers are raising prices to discourage excessive orders in an attempt to bridge the gap between supply and demand. But despite this, the shortage will not subside until well into 2022.

Despite these problems, however, the smartphone market in the last quarter sees the major companies maintain their market share positions, with Samsung holding steady year-over-year at 23%. Meanwhile, Apple saw sales increase by 3 percentage points this quarter, reaching 15%. Xiaomi remained stable in third place at 14%, a percentage unchanged year over year.

However, these data are certainly not reassuring for producers. The lack of chips, in fact, should have its climax in this quarter that leads to the important season of the christmas shopping. Apple recently released the new ones iPhone 13, which are clearly not included in this quarterly report, but will undoubtedly be the protagonists of the next quarter. The chip shortage problems, however, could also hinder Apple’s smartphone sales, despite the company being one of the best in tackling this crisis.

As a result, Stanton says consumers are unlikely to see a price cut this year as production costs continue to soar.

Customers shouldn’t expect big discounts on smartphones this year. But to avoid customer disappointment, margin-bound smartphone brands could offer bundles with other devices, such as wearables and IoT, to create good incentives for customers.

Finally, we conclude with CNBC, which just reported yesterday that the chip shortage could persist for a long time, perhaps. up to two or three years.

Sales data

Source: iPhone Italia by www.iphoneitalia.com.

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