IDC: Global Smartphone Market Plummets 4% Due to Memory Crisis

The global smartphone market in the first quarter (January-March) 2026 reportedly fell 4.1% compared to the same period last year, year-over-year (YoY). This finding was published by market research firm International Data Corporation (IDC) in its latest report on global Q1-2026 shipments, based on preliminary data gathered by the company. More specifically, during that period, around 289.7 million devices were shipped. This figure declined compared to Q1-2025, which had a volume of 302 million units. IDC attributes the sluggish smartphone market in early 2026 mainly to the memory crisis and rising smartphone prices. “Limited memory availability has forced shipment cuts, while much higher memory prices have driven up raw material costs and prompted price increases by many leading brands,” said Popal. “In some emerging markets, prices have risen by 40-50%, significantly impacting demand in price-sensitive regions,” he added, quoted from IDC’s official website. The conditions described by Popal have already occurred in Indonesia. In the country, almost all smartphone vendors have raised prices. The price increases do not apply to all models. Nevertheless, every segment, from entry-level to mid-range and flagship, has seen some hikes. “This year marks a critical turning point for vendors to innovate, given the rising costs of components, energy, and logistics due to the war in the Middle East,” Popal stated. In the same report, IDC outlined the top five smartphone vendors contributing to the Q1-2026 market. Samsung led the list in first place. The South Korean company shipped around 62.8 million smartphone units and captured a 21.7% market share. Its share increased from 20.1% in Q1-2025. According to IDC, Samsung’s positive performance in this period was supported by strong demand for the Galaxy S26 Ultra. Additionally, the earlier launch of the Galaxy A series is also seen as helping to fill the gap left by the Galaxy S26, which was released later than previous models. Apple ranked second with a total of 61.1 million units shipped and a 19.6% market share. Apple’s shipment growth reached 3.3%, driven by strong performance from the iPhone 17 series, particularly in China. Samsung and Apple were also the two largest vendors recording positive growth. Meanwhile, the other three vendors posted negative growth. Oppo’s shipment growth also fell 9.9% to 30.7 million units from 34.1 million units in Q1-2025. IDC noted that this smartphone vendor had positive performance in China, which helped prevent its global growth from plummeting sharply. Oppo’s growth was also inseparable from its integration with Realme. Meanwhile, Vivo ranked fifth on the list, shipping 21.2 million phones. Its growth declined 6.8% YoY, as it shipped 22.7 million units the previous year. Vivo’s growth was also driven by positive performance in China, its largest market, as well as stable performance in India. Details of the top five global smartphone vendors for Q1-2026 can be seen in the following table. Outside the top five, vendors like Honor, Lenovo (Motorola), and Huawei were also reported by IDC to have posted positive growth. Honor became the vendor with the highest growth among the top 10, at 24% YoY, due to shifting focus to overseas expansion. IDC Mobile Phones Research Director Anthony Scarsella highlighted that the memory price increase is the main factor worsening market conditions. Advanced markets like the United States are deemed more resilient to this impact because they are dominated by premium devices. Additionally, programmes like trade-ins and financing schemes help maintain consumer purchasing power. In contrast, emerging markets reliant on cheap devices under $200 (around Rp 3.4 million) will face greater pressure due to limited options from rising production costs. This is triggered by increasing component costs and vendors’ strategies focusing on higher-value product portfolios. The premiumisation trend is expected to continue, even as memory prices stabilise in the second half of 2027. This means the future smartphone market landscape will increasingly be dominated by higher-priced devices, while the entry-level segment may become further marginalised.