Smaller phone and laptop makers dig in for years of memory scarcity

In the ongoing memory shortage that is expected to persist through 2027, small phone and laptop manufacturers are adapting their products and strategies. These companies are testing incoming chips for fakes and passing on the memory costs to consumers. Raymond van Eck, CEO of Dutch repairable-phone maker Fairphone, highlighted that availability, not price, is the key constraint, stating, "If you don't have allocation, you're out of the game anyhow."

SK Hynix, a major memory maker, warned in July that 2027 would be the worst year in the industry's history, with demand outstripping capacity and rising beyond 2030. Counterpoint Research forecasted a 13.9% drop in smartphone shipments for the year, the steepest annual decline on record, due to memory costs making entry-level phones uneconomical to build. TrendForce expects volatile memory (DRAM) contract prices to rise 13-18% this quarter, compared to 93-98% in the first quarter.

Jolla, a Finnish handset maker, reported that its combined storage and DRAM package peaked at the end of March and has remained stable since, contrary to spring forecasts of a doubling by autumn. Jolla's CEO, Sami Pienimäki, stated that they expect supply to normalize only from 2028. Similarly, U.S. repairable-laptop maker Framework placed non-cancellable orders in advance, without knowing final price, timing, or volume, deepening the shortage.

To address the memory scarcity, Jolla designed two motherboard variants to swap the combined package for discrete chips, while Framework made memory modular from the start, allowing customers to fit salvaged memory from older machines. Jolla also stress-tests every batch of samples received, ensuring the chips are new rather than refurbished parts resold as first-hand.

The memory can account for nearly 60% of the bill of materials on handsets priced around $400, according to Fairphone's CEO. Each firm responds differently to the rising costs: Framework quickly reprices as costs land, Jolla adds a paid memory upgrade, and Fairphone has not raised prices at all.