AI Boom to Cut Budget Phone Market

Counterpoint Research forecasts sub-$200 smartphone shipments will fall about 40 percent between 2025 and 2030, removing over 230 million devices annually. Rising memory and chipset costs, driven by AI infrastructure demand, are squeezing manufacturers out of the entry-level segment. The overall market recovers by 2030, but affordable phones stay scarce, hurting low-income buyers.