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Europe's Smartphone Prices Reach Record €580 as Market Shifts to Premium

Rising memory costs, delayed flagship launches and pulled-forward inventory are driving up selling prices and raising the risk of a sharper shipment fall later in 2026.

Overview

  • Omdia reports Europe shipped 33.0 million smartphones in Q1 2026 and recorded a record average selling price of €580 as sub-€200 devices fell to an all-time low of 25% of shipments.
  • The US market contracted 3% to 33.4 million units in Q1 2026 with Apple retaining roughly 60% share after shipping 19.9 million iPhones.
  • Xiaomi’s Q1 results show a 19% drop in smartphone shipments to 33.8 million and a 43% fall in profit to CNY 6.1 billion despite a higher average selling price.
  • Samsung led Europe with about 12.6 million phones and a roughly 38% share while Motorola was the only top-five vendor to grow in the US and the fastest-growing top-five brand in Europe with shipments up 18% and 17% respectively.
  • Analysts warn that rising memory and component costs, delayed launches and earlier channel stockpiling boosted some Q1 sales but are likely to trigger steeper declines later in 2026 with Omdia forecasting a roughly 12% drop for Europe and a multi-percent fall for the US full year.