{"id":628827,"date":"2026-10-13T01:12:09","date_gmt":"2026-10-13T01:12:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/628827\/"},"modified":"2026-10-13T01:12:09","modified_gmt":"2026-10-13T01:12:09","slug":"smartphone-shipments-just-hit-a-new-low-thanks-ramageddon","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/628827\/","title":{"rendered":"Smartphone Shipments Just Hit a New Low. Thanks, RAMageddon"},"content":{"rendered":"

If you\u2019re holding on to your phone despite a wave of new, high-powered options, you\u2019re not alone. Hitting the lowest mark since 2012, smartphone shipments worldwide continued a months-long skid, slumping 20% in the third quarter of 2026 due to the RAMageddon memory shortage, according to a new analysis<\/a> by Counterpoint Research.<\/p>\n

Counterpoint said that the cost of DRAM and NAND \u2014 the two main memory chips used in smartphones, computers and data centers \u2014 continues to rise, forcing manufacturers to raise phone prices, which are up 20% overall this year. Memory costs more because there\u2019s less of it to go around<\/a>, thanks to the massive AI infrastructure buildup and its voracious appetite for chips.<\/p>\n

It was the second consecutive quarter to take \u201cthe full brunt of the memory crisis,\u201d Shilpi Jain, a senior analyst at Counterpoint, said in a statement Monday.<\/p>\n

Research firm Gartner has estimated that companies will spend $1.4 trillion on AI infrastructure this year<\/a> and $2.6 trillion overall. More than 70% of global memory chip production will go toward AI investment, TrendForce said<\/a>. Global fears about rising inflation<\/a> for most products and services are also likely suppressing phone sales.<\/p>\n

Some manufacturers fared all right during the third quarter, according to Counterpoint. Samsung\u2019s market share was 23%, up from 19% in 2025, thanks in part to \u201crobust initial demand\u201d for the Galaxy Fold 8<\/a>. Apple\u2019s third-quarter market share was 22%, the first time the company has surpassed 20% in that three-month period. But both companies saw a year-over-year decline in shipments.<\/p>\n

Things aren\u2019t looking rosy for customers\u2019 wallets, either. Earlier this month, Samsung hiked prices by $100<\/a> for its Galaxy S26 phones, and Apple\u2019s new iPhone 18 Pro and Pro Max<\/a> launched last month with prices set $100 above<\/a> the previous generation.<\/p>\n

How are consumers responding?<\/p>\n

The third quarter saw a number of notable smartphone introductions, including Samsung\u2019s Galaxy Z Fold 8 and Galaxy Z Flip 8<\/a>, the Google Pixel 11<\/a> and, in the period\u2019s waning days, the iPhone 18 Pro line and Apple\u2019s first foldable, the $1,999 iPhone Duo<\/a>. Preorders for the iPhone Duo<\/a> begin on Friday.<\/p>\n

Shoppers will be cautious about buying the latest and greatest in smartphones because of higher prices, says TMT analyst Paolo Pescatore.<\/p>\n

\u201cNew design features, including foldables, may generate excitement and appeal, but their steep price premiums remain hard to justify when most people want a device that delivers robust, reliable connectivity,\u201d Pescatore told CNET via email. \u201cFor many, the question is straightforward: why replace a perfectly functioning smartphone that continues to meet their everyday needs?\u201d<\/p>\n

Counterpoint Research found in a recent survey<\/a> that half of respondents \u2014 spanning the US, UK, India, China and Germany \u2014 would wait until holiday sales to buy a new phone. That number rises to 56% among Gen Z consumers. Counterpoint\u2019s Jain said consumers are increasingly shopping for \u201crefurbished devices and prioritizing higher-value devices.\u201d<\/p>\n

With sales down, phonemakers might resort to different strategies for customers, including refurbished handsets, repairs and trade-in schemes, Pescatore said. Cellphone carriers like T-Mobile, Verizon Wireless and AT&T could also use financing plans and bundled services as enticements.<\/p>\n

As AI investment continues to devour memory supply, phone prices won\u2019t be falling anytime soon. And with companies focusing more on premium devices, there could be fewer budget alternatives available for customers, Counterpoint Research said.<\/p>\n

\t\t\t\t\t\t\t\"Alex\t\t\t\t\t\t<\/p>\n

\t\t\t\t\t\t\t\t\t\t\tEver since being admittedly fascinated by the Cambridge coffee webcam from the 1990s, I’ve written about VPNs, the NFL, smartphones, living wages, over\/unders and everything in between.
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\n\t\t\t\t\t\tSee full bio\t\t\t\t\t<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"If you\u2019re holding on to your phone despite a wave of new, high-powered options, you\u2019re not alone. Hitting…\n","protected":false},"author":2,"featured_media":628828,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[342,111,139,69,145],"class_list":["post-628827","post","type-post","status-publish","format-standard","has-post-thumbnail","category-mobile","tag-mobile","tag-new-zealand","tag-newzealand","tag-nz","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/628827","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=628827"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/628827\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/628828"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=628827"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=628827"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=628827"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}