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Global Smartphone Shipments Hit Lowest Q2 Since 2013

A severe DRAM and NAND shortage driven by AI data‑center demand has raised component costs, reshaped vendor rankings, with recovery pushed into 2027.

Overview

  • Preliminary sell‑in reports released Monday showed a sharp Q2 slowdown with Counterpoint estimating an 11% year‑on‑year drop and Omdia reporting a smaller decline, and both firms recording share gains for Samsung and Apple.
  • Samsung reclaimed the global lead on strong Galaxy S26 sales and fewer price hikes in some markets while Apple grew iPhone shipments about 3% and reached a record roughly 20% quarterly share by maintaining stable retail pricing.
  • The memory squeeze — makers prioritizing DRAM and NAND for AI data centers — has pushed memory and storage to a much larger share of phone bill‑of‑materials, making entry and mid‑range models the most vulnerable.
  • Budget‑focused Chinese brands such as Xiaomi, OPPO and vivo saw the steepest volume declines after raising prices, trimming low‑margin models, and extending older generations to cope with higher component bills.
  • Analysts now expect a deeper full‑year shipment decline and say elevated memory prices and capacity constraints are likely to persist into 2027, delaying a meaningful market recovery until memory supply expands.