Global smartphone market faces record annual decline as chip crunch worsens

The global smartphone market is projected to contract 13.9% this year to 1.08 billion units, the steepest annual decline on record. Counterpoint Research said the deterioration is being driven by a worsening shortage of memory chips, pointing to supply-chain stress across the tech hardware sector. The outlook is negative for smartphone makers, component suppliers, and related consumer electronics demand.

Analysis

The global smartphone market is projected to contract 13.9% this year to 1.08 billion units, the steepest annual decline on record. Counterpoint Research said the deterioration is being driven by a worsening shortage of memory chips, pointing to supply-chain stress across the tech hardware sector. The outlook is negative for smartphone makers, component suppliers, and related consumer electronics demand.