Qualcomm is raising the prices of its already expensive Snapdragon chipsets, a move that will likely make price hikes on Android devices even more common.
Bloomberg information that Qualcomm has informed its customers – many of whom are Android phone makers – that it plans to implement price increases on Snapdragon chips starting with any chips shipped after September 1. The reason given is that Qualcomm has “exhausted its ability to absorb higher costs from suppliers.”
The exact details are still unclear, but prices could be rising by “double-digit” percentages. Even if that’s only 10%, it’s a blow to the already tight budgets for building Android devices.
While memory costs are the main way electronics are affected by supply shortages, semiconductors are also affected. It all comes down to the AI industry, which is building data centers and other infrastructure at a rapid pace, leaving all parts of component construction stretched thin.
The exact reason for Qualcomm’s price increase is not detailed, but the company detailed that it has “attempted to secure alternative components from new sources.”
In particular, Qualcomm prices have already been rising for several years, and what later became the Snapdragon 8 Elite was a memorable price increase. supposedly up to 30% about the previous generation. Rumors say that that Qualcomm is working on a more affordable version of its current flagship, Snapdragon 8 Elite Gen 5, with price increases in mind.
More on the price increases (literally from the last two hours):
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