Analysts predict a significant increase in prices for budget smartphones in 2026

According to a report from the analytical portal TrendForce, the global memory chip shortage, exacerbated by the artificial intelligence boom, will lead to a significant increase in smartphone prices, even in the budget segment. Current memory component inventories, typically designed for eight weeks of production, have shrunk to four weeks, forcing manufacturers to purchase components at higher prices.

The Chinese company Coosea Group confirms a sharp increase in component costs: 4GB LPDDR4X chips have risen in price from $7 to $30, while eMMC memory has increased in price from $3.2 to $8 since the beginning of the year. LPDDR4X is predicted to remain the standard for budget devices over the next three years due to its lower cost compared to the more advanced LPDDR5X.

Analysts expect a revision of smartphone memory configurations: 12GB/512GB combinations may give way to more affordable 8GB/256GB options. Meanwhile, the average price of budget models will increase by approximately 10%. An additional factor driving price increases will be the cessation of DDR4 chip production by Samsung and SK Hynix next year, which will create a shortage of remaining components.