The high popularity of input and intermediate smartphone models may result in a shortage of camera modules for these handsets. The warning comes from Jones Chen, one of the directors of Genius Electronic Optical (GSEO), a manufacturer of these components for mobile devices.
Demand for the most affordable mobile phone segment, however, is not the only culprit, Chen said. There are two other factors that cannot be ignored either: the increasing complexity in the manufacture of camera modules and the current trend of handsets coming with more and more cameras.
It may seem like little, but when we stop to think that cheaper smartphones, especially the entry-level smartphones, came with only one rear camera and are now coming with two or more, this can represent a considerable increase in large-scale production demand.
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In addition, modules are becoming increasingly advanced and complex, which impacts their production costs. In addition to modern machines for handling small cameras, expensive software is also required to operate these cameras accurately.
Of course, a decrease in module availability for these handsets can drive up their prices, which in turn is usually reversed for the end buyer. Chen, however, was not discreet in his statement that GSEO hopes to increase its profit margin with the growing demand for a growing number of more complex input and intermediate modules. This trend is expected to continue into 2020, inclusive.
Kuo Ying-Li, GSEO's president, also commented on the issue and brought some insight into the company's earnings from this high demand. According to the executive, cameras with sensors of more than 10MP already represent 47% of the entire operation of the manufacturer totaled an income of about US $ 271 million in the first three quarters of 2019.
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