Qualcomm is preparing to increase the prices of its Qualcomm chips as rising supplier and memory costs put pressure on the company. During its fiscal Q3 2026 earnings call, Qualcomm CEO Cristiano Amon confirmed the upcoming price hike, which will affect the company’s chip lineup.
The development comes at a time when Qualcomm’s smartphone chip business is also facing a decline. Its smartphone chip revenue fell 20% year-over-year to $5.1 billion, while buyers are increasingly moving towards cheaper or older devices amid soaring RAM prices.
Qualcomm Announces Double-Digit Price Increase
Qualcomm will introduce a double-digit price increase across its chip lineup starting September 1. CEO Cristiano Amon confirmed the decision during the company’s fiscal Q3 2026 earnings call.
According to the company, rising supplier and memory costs have become difficult to absorb. With these expenses continuing to put pressure on the business, Qualcomm is now preparing to increase the cost of its chips.
The decision could have a wider impact on the smartphone industry because Qualcomm supplies chips to several major smartphone manufacturers. As a result, the change in its pricing could affect companies that depend on its chips for their devices.
Rising Costs Add Pressure to Qualcomm
The increase comes as Qualcomm deals with higher supplier and memory costs. These rising expenses have become an important factor behind the company’s decision to increase chip prices.
Memory costs are also becoming a bigger concern for the smartphone market as RAM prices continue to soar. At the same time, consumers are changing their buying habits and are increasingly choosing cheaper or older devices.
For Qualcomm, this creates pressure from both sides. The company is dealing with higher costs while its smartphone chip business is also seeing weaker revenue. The upcoming price increase is therefore an important move as Qualcomm tries to manage these challenges.
Smartphone Chip Revenue Falls 20%
Qualcomm’s smartphone chip revenue fell 20% year-over-year to $5.1 billion. The decline comes as buyers shift towards cheaper or older devices amid soaring RAM prices.
The change in consumer demand is significant for the smartphone chip business. When buyers choose older or more affordable devices, demand can move away from newer products that use the latest chips.
This decline in revenue comes alongside the rising supplier and memory costs Qualcomm is facing. Together, these developments have created additional pressure on the company’s smartphone chip business.
Samsung, Xiaomi and Other Major Android Brands Could Be Affected
Qualcomm supplies chips to major smartphone manufacturers, including Samsung, Xiaomi, OnePlus, and Oppo. Because of this, the upcoming price increase could have an impact across a large part of the Android smartphone market.
The effect could be seen in both premium and mid-range smartphones. Manufacturers using Qualcomm chips will have to deal with the increased component costs, which could put additional pressure on their pricing decisions.
However, the price increase does not necessarily mean that every smartphone using Qualcomm chips will immediately become more expensive. The final impact will depend on how individual manufacturers handle the additional cost.
What Could It Mean for Smartphone Prices?
The main concern for consumers is whether the higher chip costs could eventually result in higher smartphone prices.
Since Qualcomm supplies chips to several major smartphone brands, the increase could add to the cost of producing some devices. Manufacturers may have to consider how they manage these additional expenses when setting prices for their smartphones.
Premium and mid-range devices could both be affected. This could be particularly important for buyers who are already moving towards cheaper or older devices because of soaring RAM prices.
The actual impact on consumers, however, will depend on how smartphone manufacturers respond to the higher chip costs.
Conclusion
Qualcomm’s upcoming double-digit chip price increase comes as the company faces rising supplier and memory costs along with a decline in smartphone chip revenue. Its smartphone chip revenue has fallen 20% year-over-year to $5.1 billion as buyers move towards cheaper or older devices.
With Samsung, Xiaomi, OnePlus, and Oppo among the brands using Qualcomm chips, the impact could extend across the Android smartphone market. While it remains to be seen how manufacturers handle the additional cost, the price hike could put further pressure on premium and mid-range smartphones.