Memory prices are still climbing, and TrendForce says budget phone makers are turning to cheaper reballed memory chips to hold their prices. The research firm also warns that the saving comes with a cost to buyers. Phones built this way may be less reliable and may not last as long.
TrendForce estimates reballed memory will be in about 3–4% of smartphones in 2026. It expects that share to reach 7–9% in 2027. For now, the parts are concentrated in entry-level and budget models.
Where reballed memory is turning up in phones
According to TrendForce, 4GB LPDDR4X chips make up most of the reballed memory on the market today. These mostly go into 4G phones priced below CNY 1,299, the price band TrendForce uses. The firm’s release describes them simply as lower-cost reballed memory components.
TrendForce expects DRAM price increases to pick up further in the first quarter of 2027. As that happens, it says lower-spec parts and reballed memory could become a key way to manage costs across more price tiers. In other words, the practice may not stay limited to the cheapest phones.
Reballed memory will still be a small share of the memory that phones consume overall. So TrendForce doesn’t expect it to slow the broader rise in DRAM contract prices. Phone makers get some relief on cost, but the market-wide squeeze continues.
Who carries the risk
For brands, the appeal is keeping retail prices competitive while memory costs rise. TrendForce is unusually direct about the downside:
The complexity of sourcing reballed components, coupled with greater uncertainty surrounding quality consistency, can compromise product reliability and potentially shorten device lifespans.
The firm adds that this could erode consumer trust and raise warranty and repair costs. The saving shows up on the brand’s price sheet. The reliability and lifespan risk lands on the person who buys the phone.
What this means if you’re buying a budget phone
TrendForce doesn’t name any brands or models using reballed memory. Its release also gives no way to spot these parts on a spec sheet. That leaves buyers with fewer signals than they’d like.
When parts quality is uncertain, a longer warranty matters more than usual. So does buying from a brand with reliable after-sales service where you live. Those two factors decide who pays if a phone fails early.
This forecast adds to a run of memory-driven pressure on phone prices. Counterpoint says smartphone selling prices hit a record $442 in Q3. Apple has warned that memory costs will keep rising. In India, Lava phones will cost up to ₹3,000 more from November 15.
Source: TrendForce
