IT News on October 15th: According to Bloomberg, market research firm IDC stated that affected by rising memory prices, the global smartphone market experienced its most severe quarterly decline in history during the third quarter of this year, with shipments plummeting by 22% year-on-year, and the situation is expected to further deteriorate in the coming period.

According to IDC, in the past year, orders in the artificial intelligence industry have driven up the prices of memory chips, squeezing the profit margins of the entire mobile phone industry. This has forced manufacturers to raise prices, reduce hardware configurations, and even eliminate entry-level models. Chinese leading brands such as Xiaomi and OPPO have been hit the hardest; Apple and Samsung Electronics, with their more diverse range of high-end models, have performed relatively better.

IT Home has noticed that device manufacturers are increasingly realizing that the industry is undergoing permanent structural changes. IDC predicts that market growth is not likely to recover until at least 2028. As manufacturers continue to raise prices and encourage consumers to choose flagship or ultra-high-end models, the long-term trend will be a shrinking overall market, but manufacturers with extensive channels and a high-end product portfolio, such as Apple, will see their market share further increase.

IDC Research Director Nabil Popal ( Nabila Popal ) stated: "Current indicators show that the market has not yet hit bottom. Memory prices have soared by about 350% since last year and are still continuing to rise, putting tremendous pressure on manufacturers' profits and shipment volumes. The toughest phase is still ahead of us."