Global smartphone shipments fell 20% year-over-year in Q3 2026, marking the weakest third quarter for the industry since 2012. The main cause is the diversion of memory chip production capacity toward AI data centers, creating supply constraints. Xiaomi was hit hardest with a decline of over 30% in shipments, while Samsung maintained the top spot with 23% market share. Apple reached a record 22% market share for a third quarter, the first time it has surpassed 20%. The memory shortage is expected to persist into 2027, with full-year 2026 shipments forecast to decline approximately 14%.
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