# Global smartphone market declines in Q2 2026 Memory crisis and rising costs put pressure on the industry. - **Source:** [Latest from Android Central](https://brifing.si/source/c01c90da-6cf6-4b63-a76b-3d38df0e8324) - **Published:** 2026-07-13 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/7517925d-60ab-4798-abb3-1307cf444dad ## Market overview Omdia's latest report shows the global smartphone market shrank by 4% in Q2 2026. Memory chip shortages and rising costs are cited as main reasons. This decline indicates ongoing supply chain challenges in the industry. ## Leaders' performance Samsung and Apple bucked the trend with growth. Samsung increased its share by 2% maintaining market leadership, while Apple grew by 4%. However, it's uncertain whether this growth will continue through the holiday season. ## Budget phones hit hardest Phones under $400 are expected to face the biggest impact with a projected 22% decline. Companies are likely to shift focus to higher-priced models to balance costs, according to the report. ## Supply chain challenges Beyond memory, semiconductor production bottlenecks are also increasing costs. Analysts warn that new product launches and holiday demand in coming quarters will coincide with these constraints. ## US market situation The US market shrank by 3% in Q1 2026. While Samsung led the Android market, Apple maintained a 60% share. Motorola's 18% growth came as a surprise in this challenging environment. ## Consumer behavior Price increases are driving consumers to purchase earlier. Experts suggest memory prices may drop in 2027 but won't return to 2025 levels. This could make market recovery more difficult in the coming years. ## Sources covering this story - https://www.androidcentral.com/phones/global-phone-market-dropped-in-q2-2026-and-the-holiday-season-might-not-help-it-later — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._