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TSMC Is Raising Chip Prices, Your Next Smartphone May Cost More

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It looks like the chip shortage is rearing its ugly head again. According to The Verge, TSMC is raising chip prices. The reason for this is that everybody needs to get their hands on chips. TSMC is raising prices as a result of this problem. Unfortunately, that means the prices of our favorite tech may increase as well.

The Wall Street Journal originally brought news of this price hike. TSMC will be raising its advanced chips by 10%. The less advanced products will see a hike of 20%. Those are pretty significant price hikes. For anybody out there who isn’t tech-savvy, TSMC produces processors for some of the biggest names in the tech world.

TSMC is raising chip prices which means your next smartphone may cost more

These names include Apple, AMD, Nvidia, Qualcomm, and even Intel. To put it bluntly, TSMC is a pretty big deal. Again, as a result of TSMC raising these prices that means smartphones and other products may see their prices rise.

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Raising prices means raising the price of a component that already costs a lot of money. Processors are needed in order for smartphones to process all the tasks we throw at them. This means that companies like Apple and Samsung, they can’t afford to use a weak processor. Especially, not in the case of their flagship devices.

The chip shortage has been making it hard for devices to get to market easily. Many companies are struggling to produce enough of their products. One company that comes to mind is Sony and the PlayStation 5.

The newest console from Sony is one of the most sought-after products on the market today. In fact, it is so sought after that people will wait online for a chance to purchase one at midnight when restocks happen. So many people are waiting that only the fastest hands to refresh their browser and click buy will win.

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Another popular product that is coming soon is the iPhone 13. The Wall Street Journal does not know if Apple will be affected by this price hike. If Apple remains unaffected, hopefully, that will mean that other companies will be able to remain unaffected as well.

The chip shortage is still ravaging the consumer electronics and automotive industries. It is so bad that even the President is looking for solutions. Hopefully, the shortage will be over soon. We, consumers, need to get our new toys. Especially the elusive PlayStation 5. Only time will tell if the chip shortage will end soon.