AI Servers Stealing Mobile RAM It will make your next smartphone 14% more expensive.
Smartphone Market Braces for Impact: IDC Forecasts 12.9% Slump Amid Severe RAM Shortage The global smartphone industry is facing a challenging year ahead. According to the latest report from IDC , total smartphone shipments for 2026 are projected to contract by 12.9% year-over-year. This downward trend, which began in November 2025, is primarily driven by a critical global shortage of memory chips (RAM). While a slight recovery is expected in 2027 as supply stabilizes, 2026 will be defined by record-low volumes. Lowest Volume in a Decade IDC projects total shipments will fall to 1.12 billion units , the lowest level in over ten years. The impact is unevenly distributed across the market: The Low-End Crisis: Entry-level devices are the hardest hit. Since RAM accounts for a significant portion of their total manufacturing cost, rising component prices leave manufacturers with two options: absorb the losses or hike prices both of which stifle sales. Premium Resilience: High-end ...