Global Smartphone Shipments Record Worst Third Quarter in 14 Years Amid Memory Shortage
Memory chip costs and shortages pushed retail smartphone prices up 20% this year, while Samsung held the top spot and Apple reached 22% share, Counterpoint said.
- On Monday, Counterpoint Research reported global smartphone shipments fell 20% year-over-year in the third quarter of 2026, marking the lowest level since 2012 as supply shortages and rising memory chip costs pressured manufacturers.
- Rising memory chip costs drove up production expenses, prompting OEMs to increase retail prices by 20% while prioritizing profitability over shipment volumes to protect margins.
- Despite a 3% shipment decline, Samsung retained its top market position with a 23% share, while Apple reached a 22% share, crossing the 20% threshold for the first time in any third quarter.
- Xiaomi shipments declined more than 30%, while Oppo and Vivo both dropped over 20%, as Counterpoint analyst Shilpi Jain noted consumers are "increasingly considering refurbished devices and prioritizing higher-value devices."
- The volume decline stems partly from the absence of a base Apple model, while Oppo consolidated its portfolio across Realme and OnePlus to improve cost efficiency amid supply constraints.
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A chip shortage has pushed cellphone shipments to their lowest level since 2012, but Samsung and Apple continue to lead the market despite rising prices.
Global smartphone shipments plunge 20% during Q3 2026
The increasing costs of memory chips pushed the global smartphone shipments down by 20% YoY in Q3 2026, lowest since 2012, noted Counterpoint Research, which led to an inflated BOM (bill of materials) costs and deepened supply shortages, disrupting OEM shipments, significantly
Global smartphone shipments retreated 20% year-on-year in the third quarter of 2026, according to preliminary data attributed to Counterpoint Research. The memory shortage and demand for AI data centers are among the pressures on the sector; Apple increased its share and Counterpoint projects an annual drop of 14.3%.
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