Stories
Indian Smartphone Prices Soar 16% in H1 2026; OnePlus Defies Trend
- •Mobile phone prices in India surged by 16% on average in the first half of 2026, driven by increased memory costs and a weaker rupee making imported components more expensive.
- •The overall smartphone market is projected to decline in double digits, with the average smartphone selling price reaching a record USD 318 in Q2 2026.
- •Phones priced below ’10,000 experienced the sharpest hikes (around 32%), leading to a 65% year-on-year drop in shipments for this segment in H1 2026.
- •OnePlus bucked the trend with an average price increase of only 8%, securing components early and maintaining growth while other brands saw significant declines.
- •Memory prices are not expected to decrease before 2028, and the rupee's weakness will continue to impact import costs, sustaining pressure on smartphone pricing.
Key Questions Answered
Mobile phone prices in India rose 16% on average in the first half of 2026 due to surging memory costs driven by AI data centers soaking up DRAM and NAND supply, combined with a weaker rupee that made imported components more expensive for local manufacturers.
OnePlus limited its average price increase to 8% and restricted its biggest single price hike to 12%, while the rest of the industry saw increases up to 113%. This was achieved because the brand stocked up on components early, locking in memory at lower prices before costs sharply escalated.
Phones priced below ₹10,000 experienced the sharpest price hikes of around 32%, with shipments in this sub-₹10,000 segment dropping by 65% year-on-year in the first half of 2026. Meanwhile, the ₹10,000-₹15,000 band saw shipments drop by 20%.
