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Wed, Jun 24, 2026

AI Boom making mobile phones more expensive worldwide

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ISLAMABAD: The main reason why mobile phones are expensive is the increasing need for artificial intelligence.

The demand for powerful memory chips that are being used for artificial intelligence centers and large computer systems around the world has increased greatly. That is why mobile phone manufacturing companies are finding these parts expensive.

Large component manufacturing companies are now allocating most of their production to artificial intelligence systems. Due to this, there is a shortage of memory chips used in mobile phones, resulting in an increase in the cost of making phones.

Experts say that next year the prices of mobile phones may increase by seven to fifteen percent. Instead of making the phone more expensive, some companies may reduce its memory, camera or other features. Mid-priced phones will be the most affected.

Companies that make relatively cheap phones will be under more pressure because their profits are lower, while expensive and well-known brands can handle this situation relatively better.

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Experts have even given this situation a special name, which means “memory crisis”, that is, a shortage that is affecting the entire technology world.

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