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Qualcomm Tells Customers It Will Raise Chip Prices by Double Digits

Qualcomm says rising memory and supplier costs forced the change, signaling added pressure on device prices and company margins.

Overview

  • Qualcomm sent letters to customers this week warning that products shipped after September 1, 2026 will carry a price increase described as a percentage in the double digits.
  • The company told clients it had exhausted its ability to absorb higher supplier costs and had tried to source alternative components before deciding to raise prices.
  • Analysts and industry reporting say the hike will push up smartphone bill-of-materials, with flagship SoCs such as the Snapdragon 8 Elite Gen 6 reported to cost more than prior generations.
  • Markets reacted modestly with Qualcomm shares falling roughly 1–2.4% after the reports, and investors are focused on Qualcomm’s July 29 quarterly earnings for fuller detail on margins and cost outlook.
  • The move follows similar price increases by rivals such as MediaTek and reflects a wider memory and component squeeze driven by heavy AI data-center demand and rising wafer costs that could keep device prices elevated.