Phone-makers begin using recycled memory chips to tackle shortages

Jakarta (ANTARA) — Smartphone manufacturers are reportedly adopting an alternative measure to tackle the global memory-chip shortage and keep production running: using recycled dynamic random-access memory (DRAM) recovered from used devices.

According to a Gizmochina report on Thursday (22 October), research firm Counterpoint Research said several Chinese smartphone brands cut production targets and reduced costs in the second quarter of 2026 amid soaring prices and unstable memory supplies.

Towards the end of the third quarter, however, some manufacturers raised their production targets again, thanks to the availability of recycled DRAM chips recovered from old mobile phones, computers and servers.

Although the components have helped manufacturers meet production targets, their use has raised concerns about devices’ long-term reliability.

Memory chips that have been in operation for five to six years are susceptible to cell degradation, which could increase the risk of data errors and reduce hardware performance.

Major memory manufacturers such as Samsung Electronics and SK Hynix are currently shifting production towards higher-margin memory products for artificial intelligence (AI) and high-bandwidth memory (HBM) applications, reducing supplies for the smartphone industry.

Counterpoint Research considers the use of recycled DRAM a short-term emergency measure rather than a permanent solution, reflecting the severity of the current component shortage.