Apple and Samsung benefit as memory shortages push smartphone shipments down sharply

Cell phone shipments began to skyrocket a few years ago, ending the days of guaranteed numerical growth for any aspiring phone company. Few mobile phone manufacturers exist today, and they are facing new challenges in the age of AI. A new report says smartphone shipments rose 11 percent last quarter. Some are weathering the storm better than others.

According to CounterpointThis sharp decline results in the lowest second-quarter shipment of mobile phones since 2013. Experts argue that increase in value of DRAM and NAND chips. Developers have changed dramatically to support the AI ​​computing boom, which is taking off limited parts of consumer goods such as mobile phones and PCs. As prices rise, fewer people are interested in buying new phones.

This problem has been a big problem for people who are happy to buy budget devices. A recent report from market research firm Omdia said that high memory prices are particularly bad for phones priced at $500 or less. In these areas, memory can now account for half of the total manufacturing cost. These devices have seen rapid and significant price increases compared to traditional devices, whose memory is now more than a quarter of the cost. That’s a big increase over the past year, but there’s more profit to be had in the end.

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