Component shortages, price hikes weigh down India smartphone shipments to 6-year low in 1Q26: Counterpoint

NEW DELHI: India’s smartphone shipments fell by 3% year-on-year in the January-March period of the calendar year 2026 (Q1 2026) – marking the weakest quarter in six years – driven by artificial intelligence (AI)-induced cost pressures and device price hikes, which impacted retail conversions across channels, Counterpoint Research said on Friday.

Higher supplies of RAM and storage modules to AI data centers have starved the consumer electronics sector of these crucial components, forcing original equipment manufacturers (OEMs) to increase smartphone prices. Combined with a stronger dollar, it has impacted consumer demand.