One of the problems that we have been going through for months, and that resulted from the Covid-19 pandemic, is the lack of production of the processors that all electronic products need to function.
This problem was the reason why the iPhone 12 launch was postponed for a month, and was also responsible for the fact that this year there will be no launch of a new Galaxy Note, and now it will be responsible for a possible increase in the prices of Xiaomi products.
A few weeks ago, it was reported that Xiaomi could use Mediatek processors in many of its phones instead of Qualcomm chips due to North America's problems to meet the demand of its customers, a problem in turn related to the companies' factories. Like TSMC, which designs Apple, Qualcomm, NVIDIA, and other chip manufacturers.
Wang Xiang, president of Xiaomi, mentioned that due to the decrease in manufacturing, the price of these components has also increased; Because as the demand and the manufacturing increase, the price decreases, but as the manufacturing decreases, the exact opposite happens.
This is a serious problem for brands like Xiaomi, which from the start only promised their customers a 5% profit for every phone sold, so most of their phones have a really attractive cost / benefit ratio.
The attractive price helped to increase the sales of Xiaomi smartphones around the world as most of the manufacturers witnessed a decline due to the epidemic.
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