Qualcomm raises chip prices double-digit starting September 1; memory crunch blamed
Qualcomm notified customers on July 29 that it will raise prices across its product portfolio by double-digit percentages starting September 1, citing exhausted ability to absorb rising supplier costs as memory and component shortages driven by AI data center buildout strain the semiconductor supply chain.
CEO Cristiano Amon said the company had already attempted to mitigate costs by sourcing alternative components from new suppliers but found relief insufficient.
Handset sales fell 20% year-over-year, driven by consumer preference shifting toward lower-cost options as memory prices spiked; even premium Android buyers are seeking cheaper alternatives or prior-year devices due to affordability pressures.
Snapdragon processors power the bulk of Android flagships and wearables like Meta's Ray-Ban smart glasses. For OEMs already squeezed by memory inflation, the September 1 date creates a logistics race—any orders placed before that cutoff ship at old prices. Expect device launches in late 2026 and 2027 to face cascading BOM pressure as suppliers across the stack pass costs downstream.
Sources
- Primary source
- Qualcomm (QCOM) earnings report Q3 2026
“Cost went up, prices are going to go up”
- Qualcomm tells customers chip prices will rise by double digits from September
“Qualcomm plans to raise chip prices by a double-digit percentage from September 1”
- Qualcomm Raises Chip Prices: Double-Digit Surcharges Starting 1 September
“US chip manufacturer informed customers that prices for its products are set to rise by a double-digit percentage”