The sky-high cost of RAM has claimed another victim: budget smartphones. The cofounder of Nothing company, Akis Evangelidis, recently took to X to announce that there will be no successor to last year's popular CMF Phone 2 Pro, a credible iPhone competitor that launched for just $279 and won plaudits up and down the tech world for its design and budget-friendly pricing. 

Nor was Evangelidis shy about naming the problem: "We were working on a successor, but with memory prices where they are right now, we can't build a phone that feels like a genuine step forward at a price that makes sense for CMF."

If you're totally oblivious about what he's alluding to, check out this series of charts from PCPartPicker, detailing the rise in RAM costs over just the last 18 months. Two standout examples: a basic 2x8GB configuration of DDR4 RAM went for about $50 in January of 2025 and now sells for over $150 in June of 2026, while a more speedy 2x16GB configuration of DDR5 RAM went for under $100 in January of 2025 and today costs close to $500!

And while RAM is the most talked-about culprit behind the price spikes, solid-state storage (SSDs), the kind used in mobile phones, high-end gaming computers, and consoles, has also shot up dramatically in price, currently priced at 20 times the equivalent hard disk drive (HDD). 

The driver of these price hikes is the AI revolution currently underway across the entire tech space, as deep-pocketed companies like Amazon, Microsoft, Meta, and Alphabet (parent company of Google) are projected to spend some $700-$900 billion per year on AI-related infrastructure, growing to as much as $1.6 trillion in 2031, according to reporting from Goldman Sachs. 

Unfortunately, because chip makers and RAM suppliers are seriously constrained in their production capacity, this newfound demand has created a bidding war, with budget smartphone shoppers and trillion-dollar tech companies all competing for the same finite supply of materials. The result, at least in the near term, will be not only the abolition of budget smartphones like the CMF Phone 2 Pro, but also inevitable price hikes for compute-heavy devices like smartphones, tablets, and personal computers that are already quite expensive. Apple's outgoing CEO Tim Cook said these developments are "unavoidable."

What is a budget-savvy shopper to do in 2026? The best solution for the time being might be to hold on to your old phone, tablet, or computer for as long as possible.