Memory chip squeeze to lift smartphone prices 20-30% through 2026, IESA warns

India Electronics & Semiconductor Association president flags no relief in memory prices for 12-18 months as Micron India capacity runs fully booked. Smartphone and PC retailers face 20-30% input cost inflation, with ISM 2.0 incentives (expected above prior $10B) too distant to ease near-term shelf prices.

— Source publishedWed, 20 May, 2026, 15:28 IST·First seen Wed, 20 May, 2026, 15:36 IST·Source ET Small Business

What happened

IESA warns memory chip prices will stay elevated for 12-18 months due to no new capacity, pushing smartphone prices up 20-30%. Micron India capacity fully

Key facts

  • 20-30% price rise in 6 months
  • $10 billion ISM previous incentive
  • 12-18 months horizon

Why this matters

Evaluate strategic stakes or offtake agreements with Micron India-adjacent capacity and ISM 2.0 beneficiaries to secure pricing leverage before incentives crystallize.