According to projections from research institutions, global smartphone shipments are anticipated to experience a 2.1% decline in 2026, primarily driven by escalating component costs. This has led to a downward revision of shipment forecasts by 2.6 percentage points. However, as a result of cost pass-through mechanisms (where increased costs are transferred to consumers) and adjustments in product mix (such as a shift towards higher-priced models), the average selling price of smartphones is expected to see a 6.9% year-on-year increase in 2026. This represents an upward revision from previous forecasts.
