Global component price hikes impact smartphone market

Global smartphone prices are facing upward pressure due to rising costs for essential components such as RAM, storage, and chipsets. Erajaya Digital Deputy CEO Kim Jong Won stated that these increases stem from the global technology supply chain rather than retailers, noting that the rising cost of memory materials is a primary driver.

To mitigate the impact on consumer purchasing power, Erajaya is implementing promotional programs, including shopping festivals with discounts and financing options, running from August through October 2026. The company is also negotiating with principals to find business models and products that offer more competitive pricing.

In the midst of these rising manufacturing costs, Samsung has launched the Galaxy S26 FE in Indonesia. The device, priced starting at Rp 11,999,000, features an Exynos 2500 3nm chipset and a 4,900 mAh battery. Meanwhile, industry reports suggest that Apple may face similar cost pressures, with potential iPhone price adjustments expected in 2027 following agreements on memory component pricing.