The U.S. smartphone market contracted in the second quarter of 2026 as rising price pressures sharply reduced sales of budget devices and hit smaller manufacturers harder than major brands. Counterpoint Research said memory price increases squeezed the low-end segment, with sub-$100 phone sales down nearly 65 percent from a year earlier. Samsung Electronics and Motorola gained share in the prepaid market as price gaps narrowed. Attention is also shifting to possible price rises for Apple’s next iPhone models.

Apple\'s iPhone 18 Pro and iPhone 18 Pro Max are increasingly seen as likely to cost more than the prior models, with higher prices for memory and storage parts, a variable-aperture camera and the 2-nanometre A20 Pro chip cited as key drivers. Estimates vary, with some projecting a $250 to $300 increase. Other forecasts put the starting price at least $1,299, with expected increases of $100 to $200.