Smartphone sales drop as chip costs soar

Consumers are keeping their devices for longer, and many have turned to refurbishments, an analyst at research firm Counterpoint said. Global smartphone shipments during the third quarter fell to their lowest level in 14 years, as a memory chip supply crunch pressured manufacturers to raise prices. As a result, consumers are keeping their devices for longer, and many have turned to refurbishments, an analyst at research firm Counterpoint said. Soft demand has hit Apple, the world’s second-biggest supplier after Samsung, particularly hard — October data showed the US tech giant, which relies on phone sales for around 50% of its revenue, reduced orders for the iPhone 18 by 15-20%. But it’s not just Apple in trouble: Transsion, a Chinese maker of low-cost phones sold mostly in Africa, is also under pressure, with its shares falling 7% in their Hong Kong debut.