Huawei is preparing to raise smartphone prices moderately as rising memory and component costs put pressure on profitability. The company says it has been absorbing around $200 in additional costs, which has significantly affected its margins.
Huawei chairman Richard Yu also warned that budget smartphones, particularly models priced below $200, will face the biggest impact as memory and storage prices increase. This could push more consumers toward mid-range and premium devices.
The expected price increases follow similar moves from Apple, Google and Samsung. Huawei is also expanding in Europe and the Middle East while investing in AI chip manufacturing to offset some of the financial pressure.
Source: Android Authority
