Budget Android Phones Might Die After 2026, According To This Report

Budget Android Phones Might Die After 2026, According To This Report

Budget Android Phones Might Die After 2026, According To This Report

https://www.aol.com/articles/budget-android-phones-might-die-191700722.html

Publish Date: 2026-04-03 17:05:00

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Xiaomi budget Android smartphone on the counter with screen on. – Nguyenducquang/Getty Images

Price hikes in the world of technology are inevitable, especially with RAM and NAND flash shortages, and it looks like they’re also impacting those that manufacture budget devices. A recent Counterpoint Research Korea report highlights that DRAM prices have risen more than 50% as of the first quarter of 2026, compared to the previous quarter. Moreover, NAND Flash prices have risen more than 90% in that same period. Ultimately, it means that the bill of materials (BOM), the complete list of components in a phone build, is rising exponentially across the industry.

Manufacturers making entry-level devices with at least 6 GB of LPDDR4X RAM and 128 GB eMMC storage have seen BOM costs increase by 25%, with memory costs alone accounting for nearly 43% of the entire BOM, meaning RAM is the most expensive component in the devices. Mid-priced devices, defined as the $400 to $600 range, are also seeing cost increases, by as much as 20% for DRAM and 16% for NAND Flash modules. Of course, premium and flagship phones above $800 are seeing price increases, but it’s those entry to mid-level offerings that are really going to be impacted.

It’s difficult to offer a budget option if the components are worth more than the entire device unless the manufacturer sacrifices costs elsewhere. An analyst on X points out that entry-level smartphones and devices will likely start disappearing, with brands like MediaTek and other Chinese manufacturers taking some heavy hits. It may not be long before some of the best budget smartphones see price hikes or are pulled from shelves completely.

Read more: Every Major Android Phone Brand Ranked From Worst To Best According To Users

Why would budget Android phones die?

Person holding up a Huawei Android smartphone with the screen on.

Person holding up a Huawei Android smartphone with the screen on. – Karlis Dambrans/Getty Images

The Counterpoint Research report isn’t the only one that paints a grim picture for budget…

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