Memory chip squeeze to keep smartphone prices elevated through 2026, IESA warns
IESA president flags no relief in memory prices over the next 12-18 months as global capacity gaps persist. Smartphone prices have already risen 20-30% in six months, with Micron's India output fully booked. Industry is pressing for ISM 2.0 incentives above USD 10 billion to close the gap.
What happened
IESA warns memory chip prices will stay elevated for 12-18 months due to no new capacity, having already pushed smartphone prices up 20-30% in six months.
Key facts
- 20-30% smartphone price rise in 6 months
- 12-18 months capacity gap
- USD 10 billion ISM 1.0 incentive
Why this matters
Track ISM 2.0 incentive expansion above USD 10B as a catalyst for India fab JV opportunities and consider securing supply via equity stakes or long-term offtake with memory players.