Tag Archives: competition

Why is there a shortage of electronic chipset?

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The impact of the current chipset shortage crisis has spread to a very wide world, from initially only affecting the electric car industry but the impact has now returned to the smartphone industry, tabs. Tablet, computer, game console to various IoT (Internet of Things) devices today,

Chipset shortage crisis this time. It has to say that it started from the trade war between two the most country like China and the United States in 2019, dragged on to the COVID-19 crisis in 2020 that affected the world. And it doesn’t seem to end easily, coupled with new demand that has arisen along the way in many industries. Including natural disasters to aggravate the production capacity even less Until the balance between demand and supply worsened as we can see today.


In addition, Due to less chip volume and higher product prices It’s not just businesses which are get this crisis by the shortage of semiconductors. Even ourselves as consumers will not be immune to the negative consequences of this crisis. One of them is that the price of goods has skyrocketed.

According to J.D. Power, the average US car price In the first quarter of 2021, it jumped 8.4% from a year earlier to about $37,200 per vehicle. will increase by at least 1-3% which can show that the price of chipset in the market has skyrocketed therefore it will raise a price rapidly.

And who will get benefit with this thing, the issue of the shortage of semiconductor have advantages and disadvantages , In my opinion is TSMC and Samsung which are biggest market in semiconductor it will invest abord to another country such as Vietnam, Malaysia and Thailand which it will make competition between this two company will produce new product, new innovation, and new technology for example, semiconductor 5 nanometers or 3 nanometers technology so what do u think about this issue please comment down below.



2020–present global chip shortage – Wikipedia

Global chip shortage: everything you need to know | TechRadar

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Apple may have to pay a fine which amounts to $27 billion

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EU has accused Apple of improper competition practices. The Commission accused Apple of breaching EU rules of fair competition as they believe Apple holds a dominant position – specifically in the market of music streaming.

Apple’s App Store charges a 30% commission fee on all subscriptions bought through their system. On top of that, they forbid advertising other subscription options through their app on the App Store. If you remember their dispute with Epic Games, Fortnite was kicked from the App Store exactly for breaching their latter part of the policy mentioned.

EU claims that Apple is distorting what was supposed to be a healthy competition and that ultimately the system takes toll on the customers, due to the fact that companies partnering with Apple have to up their prices in order to combat the 30% ‘Apple tax’.

If Apple is found guilty they will have to face a fine of 10% of annual revenue which accounts to $27 billion, and adjust their business model so that it works in a way that doesn’t affect healthy competing.

Apple responded to the accusations with:

“Spotify has become the largest music subscription service in the world, and we’re proud for the role we played in that. Spotify does not pay Apple any commission on over 99% of their subscribers, and only pays a 15% commission on those remaining subscribers that they acquired through the App Store. At the core of this case is Spotify’s demand they should be able to advertise alternative deals on their iOS app, a practice that no store in the world allows. Once again, they want all the benefits of the App Store but don’t think they should have to pay anything for that. The Commission’s argument on Spotify’s behalf is the opposite of fair competition.”

Spotify has its own take:

“Today is a big day. Fairness is the key to competition… we are one step closer to creating a level playing field, which is so important for the entire ecosystem of European developers.”

“Ensuring the iOS platform operates fairly is an urgent task with far-reaching implications. The European Commission’s Statement of Objections is a critical step toward holding Apple accountable for its anticompetitive behavior, ensuring meaningful choice for all consumers and a level playing field for app developers.”

Another parties also join in opposing apple in their anticompetitive practices as Apple is pressured the situation is yet to escalate, although slowly Apple is seen taking a step back – lowering the % fee, and skipping it for some services. We have yet to see what will happen as Apple is pressed with more and more antitrust complaints.




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