Smartphone Shipments Down 11pc After Sustained Chip Shortage
Counterpoint Research said suppliers are prioritizing AI data centers, pushing memory costs higher and forcing phone makers to raise prices.
- Global smartphone shipments fell 11% in the second quarter to their lowest level for the period since 2013, according to Counterpoint Research data released July 13 as memory chip shortages dampened demand.
- Suppliers prioritizing AI data center demand over consumer electronics created a persistent memory chip shortage, forcing manufacturers to pass higher component costs onto consumers through price hikes on budget and mid-range devices.
- Samsung reclaimed the top spot with a 24% market share, while Apple bucked the broader downward trend with a 3% shipment rise and record 20% global share for the quarter.
- Xiaomi, Oppo, and Vivo posted the steepest shipment declines among top-five manufacturers, reflecting their greater exposure to entry- and mid-range devices where rising memory costs hit demand hardest.
- Counterpoint expects global smartphone shipments to decline about 14% this year, with the memory chip shortage likely to persist into 2027 and continue pressuring the market.
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Memory Chip Shortage Drives Global Smartphone Shipments to Lowest Second-Quarter Level in 13 Years
Worldwide smartphone shipments fell 11% from a year earlier as rising memory costs hit lower-priced devices, while Samsung led the market and Apple reached a ... The post Memory Chip Shortage Drives Global Smartphone Shipments to Lowest Second-Quarter Level in 13 Years first appeared on [your]NEWS.
Global Smartphone Shipments Hit 13-Year Low in 2nd Quarter Amid Memory Chip Shortage
A shortage of memory chips for smartphones due to chip manufacturers shifting priorities to support the artificial intelligence (AI) boom led to the lowest level of global smartphone shipments in the past 13 years, a new report stated. Shipments of smartphones in the second quarter fell 11 percent year over year, noted Counterpoint Research’s preliminary market monitor report released on July 13. With prices for smartphone DRAM (working memory)…
Global smartphone shipments hit 13-year low
Smartphone shipments dropped 11% year-on-year in Q2 to their lowest level since 2013, as AI-driven memory shortages pushed prices higher. The biggest fall was in China, where three of the biggest five suppliers saw sales slump, the fifth straight quarterly decline. Entry-level smartphone prices are up more than 50% this year, a report found last month. In cheaper phones, memory often accounts for half the total manufacturing cost: DRAM and NAND …
Smartphone shipments hit a 13-year low due to memory supply shortages; memory prioritized for AI data centers. As demand for memory for artificial intelligence (AI) data centers surges, the supply shortage of smartphone memory is becoming prolonged, and with rising component costs driving up smartphone prices, global smartphones in the second quarter of this year...
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