Now Reading: Smartphone prices rise 16% in first half of 2026 in India
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Smartphone prices rise 16% in first half of 2026 in India
The Story in Brief
Smartphone prices in India rose 16% on average in the first half of 2026, with the average selling price hitting a record $318 (around ₹29,800) in the second quarter, according to Counterpoint Research.
Budget phones below ₹10,000 saw price increases of about 32%, and shipments in that segment fell 65% year-on-year. The ₹10,000 to ₹15,000 segment declined 20%. Counterpoint and IDC data attribute the rise to higher chip costs driven by demand from AI centres, a weakening rupee, and manufacturers reducing specifications, such as cutting RAM and storage, to control costs.
The report says a significant price drop is unlikely before 2028, as currency fluctuations and high memory prices are expected to continue. Consumers are likely to face fewer affordable options, smaller discounts and longer device replacement cycles.
Indian Opinion Analysis
Budget buyers are the hardest hit: shipments of sub-₹10,000 phones collapsed 65% while prices in that segment jumped 32%. The report suggests this pattern will persist until at least 2028 because chip demand from AI centres and rupee weakness are structural, not temporary. Consumers are already responding by stretching replacement cycles, which could slow the market further. The next signal to watch is whether the ₹10,000 to ₹20,000 band can absorb the displaced budget buyers, and whether manufacturers will cut specs deeper to hold that price point.
Source: sify.com
This brief was synthesised by AI from the source linked above. Methodology and corrections.
