Smartphone prices soar as chip shortage bites

Smartphone prices are surging as a global chip shortage grips the industry, with even older models seeing hefty hikes. Sony's PS5 console has already jumped by €100, sparking fears of a broader price spike.

Chip crisis hits consumers

For months, consumers have been bracing for a price increase, but the scale of the rises has caught many by surprise. Component costs, such as RAM and processors, have skyrocketed due to the shortage, forcing manufacturers to pass on the extra expense to buyers.

Even older, established models are not immune to the price surge. OnePlus, Vivo, OPPO, and Honor, some of the biggest Android brands, have all quietly raised prices on their existing stock. This means that those holding off in the hope of snagging a deal may find themselves paying more than they anticipated.

The situation is likely to worsen as the chip shortage shows no signs of abating. Analysts predict prices will remain elevated for several years, possibly leading to further price hikes down the line.

For consumers, the message is clear: if you're in the market for a new smartphone, now is the time to act. Stock up before prices rise further, and be prepared to adapt to a new landscape where even budget devices may come with a premium price tag.