Galaxy Note 21 May Not Release This Year; Samsung Executive Says Chip Shortage Is Reason

Samsung has just wrapped up its Galaxy Awesome UNPACKED 2021 event, unveiling several new models for its Galaxy A series. The company also has some somber news to share – it might not release a new Galaxy Note collection this year.

The ongoing global shortage of semiconductors appears to be the reason for canceling the Galaxy Note 21, which was expecting an August launch. Not only is it affecting the consumer electronics industry, even leading automotive companies are experiencing production delays.

Samsung co-CEO Koh Dong-Jin said the shortage might pose some issues for the company's businesses next quarter. At its latest annual shareholders meeting, he announced his plans to hold off the development of the next Galaxy Note models temporarily, reported Bloomberg.

Other than the Galaxy S and the recently added Galaxy Fold series of flagship smartphones, the Galaxy Note is one of the South Korean tech giant's "best-selling models."

Reuters earlier reported that the market for high-end gadgets had shrunk amid the pandemic. After this, a Samsung executive, who requested anonymity, told Yonhap News Agency, "We are preparing to release the Galaxy Note series next year." It seems Koh has finally confirmed the speculations.

"There's a serious imbalance in supply and demand of chips in the IT sector globally," said Koh, who now leads the group's IT and mobile communications division. "Despite the difficult environment, our business leaders are meeting partners overseas to solve these problems. It’s hard to say the shortage issue has been solved 100%."

Both Taiwan Semiconductor Manufacturing Company (TSMC) and Samsung, which are recognized as the world's top manufacturers of chips, are affected by component shortages as global supply chains have been strained by production delays due to the COVID-19 outbreak.

It is not yet clear if the development of new Galaxy Fold smartphones – Samsung's most cost-prohibitive lineup – will also be put on hold. Meanwhile, the company's biggest competitor – Apple – is reportedly implementing some major tech upgrades in iPhone 13 to catch up with other Android OEMs.