- A new report says rising memory prices are putting smartphone manufacturers in a bind.
- Xiaomi, OPPO, and Vivo have reportedly halted memory purchases and are running low on RAM inventory.
- Increased demand for memory by AI data centers is driving the inflation.
We might be in for inflated smartphone prices in the near future. A report released today says that smartphone manufacturers like Xiaomi and OPPO are feeling the squeeze as makers of RAM and storage for smartphones are allocating more manufacturing capacity to clients building data centers. This increased demand for memory components is resulting in higher costs for manufacturers — and you know what that means.
As reported by Jiemian News (via @Jukanlosreve on Twitter), smartphone manufacturers including Xiaomi, OPPO, and Vivo have suspended purchasing memory from suppliers like Samsung and Micron as those suppliers have increased prices drastically in recent months. Jiemian reports that a representative for an unnamed Chinese smartphone manufacturer told the publication their firm is now facing the prospect of either lowering specifications on new devices or increasing prices for customers.