Smartphone Chip Shortage Pushes Prices Up as 4G Demand Grows
The global smartphone chip shortage continues to push prices higher. As a result, many consumers now delay upgrades.
However, demand for affordable smartphones remains strong across the country. Experts say installment plans could ease the pressure. Therefore, more people could still access modern devices. In addition, government support may help stabilize prices in the long run.
Local industry voices believe flexible payment options matter. For example, installment sales allow buyers to spread costs.
As a result, smartphones become more accessible for low and middle income users.
Local Production Faces Mixed Results
Pakistan produces around 31 million mobile sets locally each year. However, nearly 47 percent remain basic 2G feature phones.
This gap exists because many remote areas lack 4G and reliable data services. Manufacturers want stronger localisation policies. Therefore, local sourcing could reduce dependency on imports.
In addition, domestic production may lower costs for components beyond chips.
Industry leaders stress the need for infrastructure upgrades. Without coverage, advanced phones offer limited value.
As a result, many consumers still prefer cheaper feature phones.
4G Expansion May Shift Demand
The upcoming spectrum auction could change the market landscape. Afterward, telecom operators plan wider 4G rollouts.
Therefore, smartphone demand may rise sharply in underserved regions.
Higher network speeds also drive memory needs. For example, apps, videos, and digital payments require more storage.
As a result, buyers increasingly seek smartphones with higher memory capacity.
This shift may increase pressure on supply chains. However, better planning could balance demand and pricing.
In the long term, improved connectivity supports digital inclusion and economic growth.
Looking Ahead
The smartphone chip shortage presents short-term challenges. Still, policy support and innovation offer hope. With smart strategies, the market can adapt to rising demand.
Consumers want affordable, reliable devices. Therefore, collaboration between government and industry remains essential.
As a result, smartphone access could expand despite global constraints.

