TrendForce’s latest investigations reveal that memory prices are projected to rise sharply again in the first quarter of 2026, exerting significant cost pressure on global end-device manufacturers. As a result, the report indicates that smartphone and notebook brands are being pushed to increase product prices and lower specifications to manage higher component costs. TrendForce also notes that a further downward revision of shipment forecasts appears unavoidable as the market environment tightens.
According to the report, this cost pressure is changing the competitive landscape by driving market resources to become more concentrated among a few leading brands that can better absorb or pass on the impact. Smaller or less profitable manufacturers may find it harder to maintain previous pricing or feature levels, which could accelerate consolidation in both the smartphone and PC segments. The combination of higher prices and downgraded specs is expected to weigh on consumer demand and unit volumes.
TrendForce notes that memory is increasingly accounting for a larger share of the BOM costs in consumer devices like smartphones and PCs. Even for Apple, which has strong profitability, the memory component in the total BOM for iPhones is expected to significantly increase in 1Q26. The report suggests this development may lead Apple to reevaluate pricing strategies for new models and consider reducing or removing price cuts on older versions, signaling that even premium brands are reassessing how to balance margins, features, and retail prices in the face of a sustained memory price surge.
