Rising chip and memory costs threaten India’s entry-level smartphone affordability
Component-cost inflation is pushing up prices in India’s sub-₹12,000 smartphone segment, potentially delaying upgrades and widening digital-access gaps. The analysis flags domestic memory packaging, component production and diversified sourcing as longer-term safeguards.
Rising memory and semiconductor component costs are lifting entry-level smartphone prices in India, risking deferred upgrades and digital exclusion. The article urges domestic memory packaging, component manufacturing and diversified sourcing to protect affordable handset access.
Why this matters
The cost pressure extends recent signals showing a 10% shipment decline from memory-led price hikes and buyers shifting toward EMIs, repairs and refurbished phones as affordability worsens.
Retail-company signals are accelerating, up 255060% QoQ.