Qualcomm CEO: Soaring Memory Costs Stalling Phone Sales - Briefs Finance

Qualcomm CEO Cristiano Amon highlighted that rising memory prices and supply constraints are suppressing global smartphone sales. He emphasized that while demand for phones remains, the cost and avail... Read original →

Rising memory costs are fundamentally reshaping the smartphone supply chain. As a key supplier to Android OEMs, Qualcomm faces direct revenue pressure from device makers cutting prices or reducing component specs due to constrained margins. Memory producers like Samsung and SK Hynix are strategically limiting output to sustain high prices, squeezing mid-tier and budget segments where profit margins are thin. Apple’s in-house chip strategy further erodes Qualcomm’s market share, while 3nm and EUV technologies demand more sophisticated supply chain capabilities. Geopolitical tensions are accelerating global semiconductor supply chain reconfiguration, increasing operational risks and forcing companies to diversify sourcing. In the short term, memory pricing will remain elevated, constraining smartphone growth across the value chain. Over 12–24 months, the industry will shift toward higher-end, customized solutions, with Qualcomm at risk of declining relevance if it fails to adapt.