Devices · 1d ago
Memory Shortages Drive 22% Drop in Budget Smartphone Sales
Memory shortages have caused budget smartphone sales to drop 22%, as memory now accounts for up to 64% of total device cost. The AI-driven demand for memory chips is squeezing low-end phone production. Mid-range devices are also forced to compromise on hardware to stay affordable.
Meridian48 take
The story highlights how AI's insatiable memory appetite is reshaping the smartphone market, but the 22% drop may be temporary as manufacturers adapt supply chains.
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Budget smartphone market collapses under the weight of memory shortages, sales expected to drop 22% — memory alone now comprises up to 64% of the total cost of lower-tier smartphones →
Tom's Hardware
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