Global smartphone shipments hit a historic low

Global smartphone shipments have seen a 20% decline compared to the same period last year, according to a report from Counterpoint Research. This drop has led to the third quarter of 2025 being the lowest recorded in the past 14 years. The ongoing RAM crisis is one of the main culprits, as it has resulted in both rising prices and component shortages, affecting the production and availability of certain models in the market.

Why it matters

This decline in shipments is a concerning indicator for the mobile technology industry. Phone manufacturers are facing not only the challenge of producing devices due to component shortages but also a shift in consumer mindset, with users opting to hold onto their devices for longer. This may impact long-term sales and innovation within the sector.

What we know

It has been confirmed that the RAM crisis significantly impacts the prices and availability of smartphones. Additionally, consumers are showing a trend of keeping their phones for more extended periods, which may be contributing to this drop in shipments. Tech companies need to adapt to these new market dynamics to survive in an increasingly competitive environment.

What remains unclear

It is still unclear how this trend will affect the smartphone industry in the long run. It is uncertain whether the RAM crisis is a temporary issue or if it will become a persistent challenge. Furthermore, the response of consumers to future product offerings and pricing remains uncertain.