Huawei predicts more smartphone price hikes due to memory crunch
thestar.com.my Oct 1, 2026

Huawei predicts more smartphone price hikes due to memory crunch

AI-summarised brief · reviewed before publication

Huawei Technologies announced it will raise smartphone prices moderately to offset a $200 rise in component costs driven by a global memory shortage. Consumer business chief Richard Yu said the increase is necessary to protect profitability, which has been hit hard, and to leverage Huawei’s “chips‑to‑software” advantage as low‑end devices under $200 disappear by decade’s end, according to Counterpoint Research. The firm expects the shift toward mid‑ and high‑end phones to play to its strengths, especially its foldable models, which have seen strong demand after Apple’s entry into the segment. Huawei projects an 8% rise in shipments this year, while rivals face declines of up to 34%, and plans to expand premium sales in the Middle East and Europe.

💡 Why It Matters

  • · Huawei’s price hike forces the market deeper into premium tiers, reshaping competition and accelerating the exit of budget smartphones.