Android

December 16, 2025, 4:10 AM EST. Counterpoint Research says the AI chip shortage could push smartphone prices higher in 2026 while shipments fall. The firm now expects smartphone ASP to rise 6.9% year-on-year in 2026, up from 3.6%, as memory chip costs and DRAM shortages lift BOMs. For phones under $200, BOM costs are up 20-30% since early 2024; mid-to-high end see 10-15% increases. Counterpoint warns memory prices could rise another 40% into Q2 2026, with BOMs up 8%-15% vs today's levels. The AI data-center boom, driven by Nvidia and memory suppliers such as SK Hynix and Samsung, is reverberating through components used in smartphones. Apple and Samsung are best positioned to weather near-term pressures, while other players may cut modules or reuse old parts and push consumers toward pricier devices. Chinese brands could be especially challenged on margins.