The smartphone market is set to experience its largest decline in history according to the consultancy IDC, which attributes the downturn to a RAM memory crisis driven by a shortage of memory chips essential for production. The forecast indicates that manufacturers are expected to sell approximately 1.1 billion smartphones this year, marking a significant 12.9% decrease compared to 2025 levels. This challenging scenario is not expected to improve until at least mid-2027.

The IDC report highlights that the sales slump will hit primarily low-cost Android phones, which are expected to be the most affected segment of the market. Meanwhile, major brands like Apple and Samsung are anticipated to benefit from increased market share as they continue to dominate the premium segment of smartphone sales. This shift could indicate a realignment in consumer preferences towards more high-end devices as affordable options dwindle due to the chip shortage.

The RAM chips play a critical role in smartphone functionality, as they temporarily store the data required for applications to operate. The widespread implications of this memory crisis not only underscore the challenges faced by manufacturers but also reflect the broader issues within the technology supply chain, which holds the potential to disrupt various sectors beyond just mobile technology.