The ongoing memory chip crisis in the smartphone world continues to negatively impact manufacturers and the supply chain. According to a current report published by Counterpoint Research, global smartphone processor shipments declined by 15% in the first half of 2026.

This contraction in the sector is putting significant pressure on the two largest players in the market, Qualcomm and MediaTek. It is stated that these two companies experienced an estimated 25% decrease in system-of-chip (SoC) shipments compared to the same period in 2025.

Declines and Rises in Market Giants

On the Qualcomm front, the Snapdragon 8 Elite Gen 5 model and other high-end options recorded limited growth. MediaTek experienced a significant decline in entry-level 5G chips, while its flagship Dimensity 9500 series delivered a more stable performance.

Despite this, Apple, Unisoc, and Samsung are among the companies that managed to increase SoC shipments. Apple strengthened its shipments of A19 and A19 Pro processors due to the demand for the iPhone 17 series.

Analysts observe a clear shift in the entry-level smartphone market from 5G-enabled MediaTek chips to 4G-enabled Unisoc solutions. Collaborations with Xiaomi’s Redmi and Poco models are also influencing Unisoc’s rise.

Future expectations and market projections

Counterpoint predicts that smartphone processor shipments will fall by 14% year-to-date. In particular, entry-level SoC shipments are expected to experience a year-on-year decline of up to 30%.

The stabilization process in memory chip prices is spread over a long period for the sector. Experts do not expect prices to return to normal before the second half of 2027. When do you think this chip crisis in the smartphone market will be completely resolved?