According to Nikkei Asia, Samsung was forced to shut down its chip fabrication plant in Texas due to large winter storms. The plant is responsible for 5 per cent of the global supply of chips for smartphones and personal computers, and its closure has caused widespread global shortage.
The facility also produces chips for organic light-emitting diode panels and for image sensors. The supply crunch hitting Qualcomm will affect a wide range of smartphone makers that rely on the company for key components.
Previously it was expected that Apple will not face any production hiccups due to the current chip shortage because TSMC designs and produces A-series chips used in the new iPhone 12 series, unlike Android smartphones companies that rely on Qualcomm, Samsung, and others for processors.