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SEOUL, May 13 (Reuters) – Samsung Electronics is in talks with its consumers to increase contract production costs of chips by as much as 20 percent this year, Bloomberg reported on Friday.
The move is part of an industry-wide crusade to increase costs to cover emerging and logistics costs, Bloomberg said, citing others familiar with the matter.
Samsung had no comment.
Samsung Electronics is the largest chipmaker of the moment in the world, after Taiwan Semiconductor Manufacturing Co (TSMC).
TSMC has forecast an increase of up to 37% in sales in the current quarter, saying it expects chip capacity to remain very limited this year amid a global chip crisis that has kept order books complete and allowed chipmakers to rate prices higher.
Samsung said in a earnings call in late April that demand from primary consumers for its contracted chip production to exceed its available capacity, and it expected the shortage of sources to continue.