TrendForce projects global smartphone panel shipments will drop 7.3% to 2.14 billion units in 2026, ending years of growth. Rising memory costs and supply constraints are reshaping brand strategies, with new handset demand weakening. 7.3% YoY decline marks the market's first annual contraction since 2023. The secondary market faces headwinds as component shortages limit device availability, though repair demand remains stable. Consumer spending caution may not offset new sales slowdown.

Panel mix shifts toward premium AMOLED adoption, with 43.2% market share expected in 2026. Mid-range devices will see LTPS LCD share plummet from 4.4% to 2.5% as brands prioritize high-end models. Entry-level a-Si LCD stability contrasts with mid-tier price pressures. Brands may pass memory cost increases to consumers while managing supply chain expenses, intensifying pricing competition among panel makers.

AMOLED panel pricing faces instability despite technological advantages, while LCD panels in mid/low-tier segments may see significant declines. Soaring memory prices remain the market's largest uncertainty. Smartphone brands' product mix adjustments and consumer responses to potential handset price hikes versus extended device usage will shape the industry's future outlook.