Holiday shoppers are bracing themselves for a more expensive holiday shopping season than usual as supply chain problems force companies to bring their newest, higher-margin electronic devices to market faster, leaving fewer cheaper options during the season of gift-giving.<\/p>\n\n\n\n
Top electronics brands are making the most of a severe chip shortage that is affecting production across all price ranges due to logistical problems, a tight labor market, and closed factories in Asia as a result of the ongoing pandemic.<\/p>\n\n\n\n
Many websites show that the more affordable devices have longer waiting times for delivery, while expensive devices may be shipped earlier.<\/p>\n\n\n\n
An $800, 11-inch iPad Pro can be shipped as early as November 17, but the cheaper and newer entry-level iPad, worth $330, has a one-month wait for shipment.<\/p>\n\n\n\n
In addition, a $1,759 Hermes Apple Watch 7 will be shipped to buyers in early December, but buyers of the $400 Apple Watch will have to wait much longer.<\/p>\n\n\n\n
Samsung will also release the latest $1,900 Galaxy Z Fold a week earlier than the $1,200 S21 Ultra. Both devices feature the latest 5G chips.<\/p>\n\n\n\n
Qualcomm Inc, which makes high-end 5G-enabled chips for Apple and many top Android phones, said its customers prioritize premium and high-tier gadgets.<\/p>\n\n\n\n
While global smartphone shipments slumped in the third quarter due to component shortages in Q3, robust sales of mid-to upper-end smartphones catapulted third-quarter sales to a record high of more than $100 billion.<\/p>\n\n\n\n
Smartphones are forecast to be sold at an average price of $410 this holiday quarter, up from $376 in the previous quarter and $395 last year, while laptops will be 8% more expensive at $830 in the holiday quarter, according to IDC.<\/p>\n\n\n\n
GoPro Inc, which now focuses on high-margin action cameras, said consumers bought cameras at the top end of its product range at prices above $300.<\/p>\n\n\n\n
In addition, laptop manufacturers, who rely heavily on Asian factories that produce chips for their devices, have prioritized production of the higher 14\u2033 and 15\u2033 variants instead of the cheaper 11\u2033 Chromebooks.<\/p>\n\n\n