On October 24, Xiaomi responded to the pricing issue of its newly released Redmi K90 series smartphones. Lei Jun, Xiaomi's president, stated on Weibo that due to the significant surge in memory chip prices, the production cost of smartphones has increased substantially. This cost pressure has ultimately been reflected in the pricing of the new products.
The current global shortage of memory chips has led to a sharp increase in prices, making it challenging for smartphone manufacturers to maintain their profit margins. As a result, many companies have been forced to raise their prices to offset the increased costs.
Xiaomi's decision to increase the pricing of its Redmi K90 series smartphones is a clear indication of the impact of the memory chip shortage on the industry. The company's move is likely to be followed by other smartphone manufacturers, further driving up prices in the market.
The memory chip shortage is a complex issue that requires a collaborative effort from the industry, governments, and other stakeholders to resolve. In the meantime, consumers can expect to see higher prices for smartphones and other electronic devices.