Xiaomi appears to be facing a memory crisis, which may have repercussions for Samsung and Apple in 2026.

      A few days ago, I reported on the potential increase in smartphone prices across various segments, and now we are witnessing this scenario unfold, beginning with the Xiaomi 17 Ultra. The starting price of this model's base variant exceeds that of its predecessor, and Samsung and Apple are not completely shielded from this trend either.

      Listen closely. Last year, the Chinese company introduced the Xiaomi 15 Ultra priced at CNY 6,499 for the entry-level model with 12GB of RAM and 256GB of storage. The version with 16GB of RAM and 512GB of storage was set at CNY 6,999.

      Xiaomi

      Xiaomi's pricing reveals an unsettling narrative

      However, this year, there is no Xiaomi 17 Ultra model with 256GB of storage. Instead, the company is encouraging customers to purchase the new base variant, which offers 512GB of storage and 12GB of RAM, at CNY 6,999, the same price that last year's 16GB RAM model sold for.

      The 16GB RAM version of the Xiaomi 17 Ultra is priced at CNY 7,499, suggesting that Chinese customers are now paying a CNY 500 premium, or roughly 7.1%, for the same RAM and storage configuration. The reduction in RAM in the base model of the Xiaomi 17 Ultra, coupled with the increased cost to obtain the same memory capacity, serves as an alarming signal.

      While this may not serve as a definitive benchmark since each brand has differing profit margins and the ability to absorb price hikes, the memory crisis is no longer just a concept: it is a reality that could affect the smartphones you typically see and purchase in the United States soon.

      If you've followed my earlier article on this matter, I stated that smartphone manufacturers (including popular brands) can tackle this issue in three ways: by raising prices, reducing profit margins, or discreetly lowering RAM capacities. Xiaomi has chosen a combination of the first and third strategies, along with eliminating the lower-memory version.

      Nirave Gondhia / Digital Trends

      Same price, less RAM: The real increase begins here

      Expect this to become a pattern in the smartphone market moving forward. You may encounter fewer entry-level variants (those with lower memory), an emphasis on models with higher default memory and storage (as they demand a higher price), or the same starting price for reduced memory gigabytes. Samsung and Apple are not exempt from this trend.

      Both companies depend on memory tiering to enhance profits, in which entry-level models with less RAM serve as anchor points for their lineups, while higher variants (with increased memory) offer superior day-to-day performance for consumers at elevated prices.

      According to a report from Aju News, Samsung Electronics' MX Division may increase the prices of the Galaxy S26 series and the Galaxy Z Fold/Flip 8 by as much as 10%. Likewise, Apple's iPhone 18 Pro models (Pro and Pro Max) might also see a price rise in the fall of 2026 due to mounting manufacturing expenses.

      These factors lead me to believe that 2026 may not be the best time to upgrade your smartphone. While established models like the iPhone 16, the entry-level iPhone 17, or the Pixel 9 or 10 series, and the Galaxy S25 series may be available at discounted rates, nearly all new models could launch with significantly higher price points.