Turkish Smartphone Prices Expected to Rise Sharply Amid Global…
İlkay Cihaner, Deputy General Manager of Turkish mobile phone manufacturer General Mobile, states that the global smartphone market is expected to shrink by approximately 13 percent compared to last year. He attributes this downturn, along with anticipated price increases, to a dramatic rise in production costs.
The primary driver of these elevated costs is a six-fold surge in memory chip prices over the past year. Memory chip expenses, which once accounted for around 15 percent of a smartphone’s total production cost, now approach 50 percent, placing immense pressure on manufacturers.
As a direct consequence, General Mobile anticipates smartphone prices will increase by 35 to 40 percent this year. This will significantly impact Turkish consumers, who are already grappling with high inflation and fluctuating exchange rates, making new mobile phones considerably more expensive.
This expected price hike will intensify pressure on living costs and may prompt consumers to delay purchases or opt for more affordable models. The situation also poses challenges for Turkish businesses, particularly electronics retail and companies like General Mobile, as they navigate shrinking global demand and higher operational expenses.
