Samsung halts production of S21 FE due to chip shortage

Samsung halts production of S21 FE due to chip shortage

The global chip shortage caused by the pandemic-related restrictions continues to have an impact on operators

The South Korean multinational conglomerate, Samsung Electronics Co., announced the production suspension of one of its mid-range phones because of a chip shortage.

Samsung’s Galaxy S21 Fan Edition halt came after a shortage of Qualcomm’s application processors. The less expensive version of the Galaxy S21 was aimed to be launched in August.

According to South Korea’s Electronic Times report, the chip shortage may not be resolved soon. Moreover, Samsung has warned that it is grappling with the fallout of a “serious imbalance” in global semiconductor supply.

Samsung is not the first company to cite chip shortage as a problem. Nio, the Chinese electric car company, revealed that deliveries slide in May due to “the volatility of semiconductor supply and certain logistical adjustments.” In May, Nio managed to deliver 6,711 vehicles.

Despite the recent setback, rumor has it that Samsung began the production of its Galaxy Z Fold3.

Sources: Bloomberg.com, seekingalpha.com

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