Rising RAM and flash memory chip prices, driven by AI demand, may lead to higher smartphone costs in 2026, affecting brands like Xiaomi and OPPO.
© A. Krivonosov
Industry sources are warning that electronics could become more expensive after the 2026 Chinese New Year celebrations, amid a rapid surge in prices for RAM and flash memory chips. According to Chinese tech insider Digital Chat Station, analysts at IDC, and business press reports, the rising cost of components is already putting pressure on mobile device manufacturers.
In recent months, the global memory market has seen sharp price increases. One key reason is the booming AI sector, which is heavily consuming production capacity from DRAM and NAND Flash suppliers. This has created a structural shortage of RAM and built-in storage for the mobile industry, inevitably driving up the production costs of smartphones and tablets.
Major brands like OPPO, OnePlus, vivo, iQOO, Xiaomi, and Honor may gradually raise prices on existing models. Analysts suggest that in 2026, the Chinese smartphone market could face a situation where retail prices are revised upward multiple times within a single year—a first for the industry. Price cycles for memory components have shortened to record lows, with adjustments sometimes occurring twice a month.
If this trend continues, the increased component costs could affect not only new devices but also current product lines, reshaping pricing dynamics across the entire consumer electronics market. Experts believe the outcome will depend on the balance between demand from AI infrastructure and the ability of memory manufacturers to ramp up production.