Budget 2026 is about to come, and one question that is on everyone’s mind is whether smartphone prices will increase or decrease after the budget is announced. Like every year, this time too there are high expectations that the budget will provide some relief and everyday essentials will become more affordable. Smartphones have no longer become a luxury but a basic necessity.
Last year, many Indian brands entered the Indian smartphone market, giving tough competition to Chinese companies. While Chinese companies kept prices stable, Samsung increased the prices of some models at the end of the year. This has increased the concern that prices may increase further after the upcoming budget.
What do industry experts say?
According to India TV, industry experts say that the increasing global demand for artificial intelligence has led to a shortage of essential components like memory chips, putting pressure on the global supply chain. Due to this, the production cost of smartphone manufacturing companies has increased, leaving them less scope to adjust expenses without increasing prices.
At the same time, companies are also avoiding making smartphones too expensive, because higher prices can spoil the market dynamics and impact demand. Madhav Sheth, former CEO of Realme and founder of Nxtquantum Shift Technologies, said that India’s technology sector is at a critical juncture. He said that the increasing demand for AI-integrated devices has increased the prices of phones.
what to consider
Experts suggest that India should move up the value chain by indigenously manufacturing key smartphone components like camera modules, batteries, printed circuit boards (PCBs) and other critical parts. Emphasis should also be placed on research and development, system design and software-based innovation.
Currently, most smartphones are assembled in India, but critical parts are still imported. Industry insiders believe that targeted tax incentives and policy support in the Budget can promote domestic manufacturing of these components. Such steps can help control costs, stabilize smartphone prices, and in some cases even bring down prices. While an immediate and significant price cut is unlikely due to global supply pressures, the direction set by the Union Budget could play a role in determining whether smartphones will become costlier or cheaper in the long run.