DRAM chip shortage from AI demand expected to raise smartphone prices by nearly 7% by 2026
By
Arjun Kharpal
Summary
DRAM chip shortages driven by AI data center demand are causing smartphone prices to rise. Low-end smartphones (under $200) have seen material costs increase 20-30% since early 2024, while mid/high-end phones saw 10-15% increases. Memory prices could rise another 40% through Q2 2026, and average smartphone selling prices are expected to increase 6.9% in 2026 according to Counterpoint Research.
Source
bskyDRAM chip shortage from AI demand expected to raise smartphone prices by nearly 7% by 2026cnbc.comKey quotes
· 3 pulledMemory prices could rise another 40% through Q2 2026, resulting in BoM costs increasing anywhere b
For low-end smartphones priced below $200, the bill of materials cost has increased 20% to 30% since the beginning of the year
The mid and high-end smartphone segment has seen material costs rise 10% to 15%
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