Global Smartphone Shipments Fall as Much as 22% as Costs Rise

Global smartphone shipments fell by as much as 22% in the third quarter of 2026, a record decline as rising component costs pushed manufacturers to raise retail prices.

The downturn is prompting smartphone makers to streamline product lines and focus on premium models to protect margins as supply-chain pressures persist.

Market research firms IDC, Omdia and Counterpoint all reported sharp double-digit declines in shipments between July and September. IDC estimated that shipments fell 22% year-on-year to 255.3 million units, the largest decline on record. Omdia and Counterpoint each put the drop at 20%, with Counterpoint reporting the lowest third-quarter volume in 14 years.