Wang Jiang, president of Chinese smartphone maker Shaomi, has warned that global chip shortages have pushed up costs and pushed up the prices of some products.
"We will try to keep the cost of construction of our products as favorable as possible," Jiang said while releasing the company's fourth quarter earnings statement on Wednesday. Honestly, we try our best to give our best price to the consumers but sometimes we may have to impose some part of the cost increase on the customer in different cases. We're feeling the pressure of the chip shortage, but we're fine.
The lack of computer chips hit the electronics industry hard at the end of last year. This is due to the US sanctions against Kovid-19, a Chinese technology company.
Although the chip crisis is expected to affect only the automotive industry, it has finally hit hardware products, including smartphones.
Xiaomi's main supplier, Qualcomm, is struggling to meet orders from major smartphone brands, Reuters reported earlier this month.