Dell and HP notebook battery shortages after fire at plant

With the battery being such an integral component of a laptop, the cost of the battery can have a noticeable effect on the cost of the entire notebook computer. Reuters reports that Dell announced this week that there was a shortage of notebook batteries because in part of a fire at a major battery manufacturer.

Dell also admitted that prices for batteries sold separately from a notebook system have gone up because of the shortage. LG Chem, one of the leading makers of batteries for notebooks, had a fire in its Ochang plant on March 3. Dell says that it is working with other vendors to obtain batteries in an attempt to stave the shortage and prevent price increases for new notebooks from being passed on to consumers.

Reuters reports that the fire not only contributed to a worldwide battery shortage, but could affect up to 40% of Q2 shipments for Asustek Computer, the number two Taiwan computer maker after Acer.

Dell spokesman Jess Blackburn told Reuters, "We sell battery packs. The prices of those battery packs for people ordering extra batteries have gone up." However, Blackburn didn’t comment on the amount of the price increase.

Dell isn’t the only PC maker looking at notebook battery shortages; HP is feeling the same pinch. HP spokesperson Mike Hockey said, "The full extent of the impact to HP and other OEMs is still being determined. We are aggressively working within the battery cell industry to secure additional supply of battery cells."

Some sources say that notebook makers will be able to offset the increased cost of batteries shipped with notebook systems with the decreased cost of other system components like RAM. In 2007 it was the notebook batteries themselves causing fires that lead to shortages. The largest battery recalls ever seen initiated by some of the leading computer makers hit the industry with huge replacement expenses.