ISLAMABAD: The increasing use of AI, along with the impact of the global “chip war”, is becoming evident even in local markets, as smartphone prices have started to rise.

While Infinix and Tecno have already announced higher rates, other brands, including Vgotel, Vivo, Realme, Oppo, etc., plan to announce new rates in the coming week.

Manufacturers say this is due to the high cost of chipsets.

“The memory chips have become costlier, between 20 and 30 per cent, and all of it is imported,” said Muzaffar Paracha, Senior Vice-Chairman of the Pakistan Mobile Phone Manufacturers Ass­ociation (PMPMA).

Manufacturers cite higher memory-chip costs, AI-driven demand and global supply constraints for rising handset prices

Manufacturers noted that the cost of memory chips has increased by $20-30 per set. This is because the world is facing a shortage of memory chips.

“There are only three key producers of mobile phones — Apple, Samsung and Chinese brands that........

© Dawn Business