Those who prefer spending smart might want to consider getting their next flagship smartphone this holiday season. Prices of mobile devices are expected to increase again in 2026, but it's not just because of chipsets this time.
AI is the culprit
According to Reuters, Xiaomi President Lu Weibing told reporters he expects the rising costs of memory chips to place heavier pressure on companies in 2026. Consumers are warned to expect a "sizable rise in product retail prices". Products affected will likely include smartphones, tablets, and other electronic devices.
Lu's comments support a previous report that cited AI as the reason for the increase in memory chips. This trend is due to companies building more AI servers in data centres, resulting in increasing demand for memory chips. Some of the pressure caused by these increased costs could be alleviated by raising the prices of products. However, Lu claimed that it wouldn't be enough.
Different year, same story
Honestly, the prices of smartphones going up isn't anything new. Smartphone prices have increased steadily over the years, mainly due to chipset prices. However, 2026 could see a higher jump in recent years, as RAM and storage chips could also become pricier.
We've already seen some signs of that with the Redmi K90 Pro Max, which launched at much higher prices than last year's Redmi K80 Ultra. The POCO F8 series happens to be the upcoming rebranded global version of the Redmi K90 series, so we can compare prices once those phones launch here.
It's definitely bad news, but don't worry about it too much. After all, there's always the option of buying older phones. Maybe lower demand in 2026 could result in lower prices in 2027, but what do you think? Let us know in the comments below!
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