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Hardware manufacturers are struggling with a severe shortage of standard RAM as the surge in AI server construction consumes the available chip supply. The Financial Times identifies the trend as "RAMageddon," reporting that cost spikes for these components are forcing smartphone brands to raise retail prices for end users.
Global shipment forecasts for smartphones are being lowered again for 2026, with the most pessimistic projections predicting a nearly 17% drop from 2025. Manufacturers are eliminating low-end models and shifting costs to buyers to preserve margins in a two-speed market driven by AI infrastructure spending.
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