Smartphone Shipments Crash 22% in Q3 as AI-Driven Memory Costs Squeeze Makers
Updated
Updated · Bloomberg · Oct 15
Smartphone Shipments Crash 22% in Q3 as AI-Driven Memory Costs Squeeze Makers
3 articles · Updated · Bloomberg · Oct 15
Summary
IDC said global smartphone shipments plunged 22% in the September quarter, marking the market’s worst decline on record.
Rising memory and storage costs—driven by AI-sector demand—hit handset profitability, pushing vendors to raise prices, trim specifications and drop budget models.
Xiaomi and Oppo were among the hardest hit large brands, while Apple and Samsung held up better because their bigger premium-phone portfolios gave them more pricing power.
The slump follows an earlier report that Q3 shipments fell to a 14-year low, underscoring how chip shortages and higher prices are extending replacement cycles across the market.