AI-driven memory crunch jolts India’s smartphone market

TechCrunch AI · 2 hours ago

India's smartphone market experienced a 10% shipment decline in Q2 as memory chip manufacturers shifted production toward AI accelerators, driving up costs for consumer devices. The sub-₹15,000 segment saw shipments fall 45% year-over-year, with overall smartphone prices rising between 4% and 68% depending on the model. Consumers are delaying upgrades to approximately four-year cycles, Chinese smartphone brands are retreating from unprofitable markets, and memory shortages are expected to persist until at least the end of 2027.