Huawei Reports Increased Smartphone Costs Due to RAM Price Hikes
Huawei's consumer business chief, Richard Yu, stated that rising memory prices—referred to as 'RAMageddon'—have increased the company’s smartphone production costs by $200 per unit. The cost surge is significantly impacting Huawei's profitability and may lead to moderate price increases for its smartphones in response. The global shortage of RAM has been a persistent issue, affecting multiple sectors reliant on memory components. Bloomberg reports that Huawei will likely raise prices going forward but aims to keep the adjustments minimal to maintain competitiveness despite higher manufacturing costs.
