The global consumer electronics market is entering a new phase of disruption. Surging AI-driven demand for memory chips has thrown supply and demand out of balance, prompting major tech companies to raise hardware prices and pass costs onto end users. At the same time, Apple is set to unveil its first foldable smartphone on September 9, a move expected to inject fresh momentum into a sluggish smartphone market.
Amazon recently led a wave of price increases across its consumer hardware lineup. The entry-level Echo smart speaker rose from $49.99 to $79.99 (about 60%), while the 16GB Kindle e-reader climbed to $149.99, up roughly 36%. Before Amazon’s move, Apple, Microsoft, and Dell had already adjusted pricing or reduced standard storage configurations to offset rising upstream component costs.
The core driver of this industry-wide repricing is the rapid expansion of AI. Cloud providers are aggressively procuring high-end memory chips, shifting production capacity toward data-center and AI workloads and squeezing supply for smartphones and other consumer devices. Data show DRAM prices jumped 80%–90% quarter-over-quarter in Q1 2026, with industry forecasts pointing to a shortage lasting into 2027 and prices potentially peaking only around 2028. The resulting chip scarcity and cost inflation are expected to contribute to a 16.7% year-over-year decline in global smartphone shipments in 2026, underscoring the sector’s downturn.
Apple has confirmed an autumn launch event on September 9 under the theme “Surprise and Shine,” where it is expected to introduce the iPhone 18 Pro lineup and its first foldable iPhone, widely rumored to be named iPhone Ultra. Reports indicate a book-style, left-right folding design with a titanium chassis, a liquid-metal hinge, and the 2nm A20 Pro chip. The device is expected to feature dual screens with a customized foldable interaction system. Market rumors suggest a starting price around $1,999, with top configurations potentially reaching $2,500.
Despite the high price tag, IDC forecasts that the iPhone Ultra could ship more than 10 million units in its first year, leveraging Apple’s brand strength and mature ecosystem to help reverse the foldable segment’s recent slowdown. Global foldable phone shipments are projected to grow 12.6% this year and 18% next year, with Apple potentially capturing around 40% of the foldable market by 2027, reshaping the high-end foldable landscape.
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