Dec 16 (Reuters) – Global smartphone shipments are expected to decline 2.1% next year as rising chip costs \u200bare likely to impact demand, technology-focused market research firm \u200cCounterpoint said on Tuesday.<\/p>\n
Electronics supply chains around the world have been hit \u200cby a shortage of legacy memory chips in recent months as manufacturers turned their focus to high-end memory chips suited for semiconductors designed for AI applications.<\/p>\n
What we are seeing now \u2060is the low end \u200cof the market (below $200) being impacted most severely, with bill-of-materials costs (total cost of parts) increasing by \u200d20% to 30% since the beginning of the year, Counterpoint’s Research Director MS Hwang said.<\/p>\n
Chinese Smartphone brands such as Honor Device and \u200bOppo are expected to be more vulnerable, particularly in the \u200centry-level segment, due to tight margins, the report said.<\/p>\n
“Apple<\/a> and Samsung are best-positioned to weather the next few quarters,” Counterpoint senior analyst Yang Wang said.<\/p>\n The research firm said last month that Nvidia<\/a>‘s move to use smartphone-style memory chips in \u2060its artificial intelligence<\/a> servers could cause \u200bserver-memory prices to double by late \u200b2026.<\/p>\n As each AI server needs more memory chips than a handset, the change is expected to \u200dcreate sudden demand \u2060that the industry is not equipped to handle, according to Counterpoint.<\/p>\n Earlier this month, research firm IDC also said \u2060it expects a decline of 0.9% in 2026 smartphone shipments globally, citing \u200crising memory chip prices.<\/p>\n (Reporting by Mihika Sharma in \u200cBengaluru; Editing by Janane Venkatraman)<\/p>\n","protected":false},"excerpt":{"rendered":"Dec 16 (Reuters) – Global smartphone shipments are expected to decline 2.1% next year as rising chip costs…\n","protected":false},"author":2,"featured_media":235973,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[257],"tags":[107881,18,19,17,80702,279,82],"class_list":{"0":"post-235972","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-mobile","8":"tag-counterpoint","9":"tag-eire","10":"tag-ie","11":"tag-ireland","12":"tag-memory-chips","13":"tag-mobile","14":"tag-technology"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/115730173250366281","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/235972","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=235972"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/235972\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/235973"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=235972"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=235972"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=235972"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}