Business

Low specs phones make comeback in pro market

By Sohail Khan 16 September 2026, 12:57 am

Benchmarks
Nifty23,118.60-279.5

FEATURED FUNDS★★★★★

Motilal Oswal Midcap Fund Direct-Growth

5Y Return
22 %

Invest Now

Enter search text:

Business News›Industry›Cons. Products›Electronics›Mobiles phones with low specs make a comeback in premium market

Read Today's Paper

Mobiles phones with low specs make a comeback in premium market
Synopsis

Entry-level smartphones with 2GB or 3GB RAM are making a comeback. Brands like Itel and Lava are targeting this segment with new models. Major brands have shifted focus to premium phones, leaving a market gap. Shipments in this segment have significantly declined due to rising costs. However, demand for budget phones remains strong, especially in smaller towns.

Mobiles phones with low specs make a comeback in premium market smartphones

New Delhi: Smartphones with 2GB or 3GB RAM, along with 4G support, are making a comeback through brands such as Itel and Lava though the larger industry has moved away from entry-level specifications citing poor user experience.

This, industry executives said, is a means to capture the entry-level segment that is increasingly being vacated by the major brands as they move up to premium pastures, chasing higher profits. Most of these models are priced under ₹10,000, a price segment that has become difficult for brands to cater to due to rising memory and chipset costs.

Also read: Apple's surprise price twist for old iPhone models exposes smartphone price pain

ET Bureau

Some brands roll out mobiles with low memory as bigger cos abandon segment due to rising chipset costs

"Shipments in this segment fell 74.3% YoY in Q2 2026, with its share of the market shrinking from 15.6% to just 4.5%, reinforcing that the entry-level tier is fast becoming commercially unviable under the current cost environment," research firm IDC said.

Flipkart and Amazon are also selling entry-level phones from little known brands like Siavantage, Oneme and Zeno that sport iPhone-like designs, but pack entry-level hardware.

"The last 2GB RAM phone was launched back in 2023 that too to keep the price under ₹6,000. Now, you can see 2GB and 3GB RAM phones selling for ₹8,000-9,000. These are coming back because a lot of brands are not getting enough supplies and have to rely on smaller RAM chips to continue operating," an industry executive from a smartphone brand said on condition of anonymity.

The executive added that more models with such entry-level hardware are expected to flood the market ahead of the festive season, to cater to the latent demand that is still there for budget phones. Itel announced a handset earlier this year with 2GB RAM and 64GB storage, while Lava has an entry-level 4G handset with 3GB RAM and 64GB storage.

Industry experts said most smartphone brands have effectively abandoned launching models with such low-end hardware with the Android operating system becoming more demanding. That said, Google too announced support for a version of Gemini that can work with 2GB RAM earlier this year, indicating that such hardware specifications are making a comeback.

"Most brands have crossed the ₹30,000 price segment this year even with hardware they were selling for much less last year. But the market for such high-end models is only around 30 million, whereas demand for sub ₹10,000 phones is still strong, well over 40-50 million, especially in smaller towns," another industry veteran said.

Add as a Reliable and Trusted News Source
Add Now!

(You can now subscribe to our WhatsApp channel)

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

(You can now subscribe to our WhatsApp channel)

Read More News on
low spec smartphonespremium smartphone marketbudget smartphonesAndroid operating systemiPhone4G supportnew Mobiles phonesandroid Mobiles phones

(Catch all the Business News, Breaking News and Latest News Updates on The .)

…moreless

Enter search text:

Continue reading with one of these options:
Limited Access
Free
Login to get access to some exclusive stories

& personalised newsletters
Login Now

Unlimited Access
Starting @ Rs120/month
Get access to exclusive stories, expert opinions &

in-depth stock reports
Subscribe Now

Unlock Access to All Exclusives with ETPrime FREE TRIAL

15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers

Trial offer expiring in00 : 05 : 00

I'd rather pay ₹2599 now

Uh-oh! This is an exclusive story available for selected readers only.

Worry not. You’re just a step away.

Prime Account Detected!

It seems like you're already an ETPrime member with

Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.

Unlock ETPrime's Exclusive Stories Today!

Subscribe to gain powerful insights on business, stock market and industry trends.

Big Price Drop! Flat 40% Off

Student Only Offer

Already a Member? Sign In now

Already a Member? Sign In now
Already a Member? Sign In now

Offer Exclusively For You

Save up to Rs. 700/-

ON ET PRIME MEMBERSHIP

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get 1 Year Free

With 1 and 2-Year ET prime membership

Avail Offer

Offer Exclusively For You

Get Flat 40% Off

Then ₹ 1749 for 1 year

Avail Offer

Offer Exclusively For You

ET Prime at ₹ 49 for 1 month

Then ₹ 1749 for 1 year

Avail Offer

Special Offer

Get flat 40% off on ETPrime

Avail Offer
Avail Offer

Claim NowAlready a Member? Sign In now

Need Assistance?

Connect with an ETPrime expert for personalized support and guidance

+91 9484700004

' + h3 + '

' + h4 + '

' + listing + '

What’s Included with

ETPrime Membership

1Exclusive Insights That Matter

Uncover the truth with our investigative stories

Make strategic moves using the real-world case studies

Read industry-specific stories to identify emerging trends

Spot opportunities with in-depth insights that matter

Trump temper on H-1B visas is forcing Indians to do these things to stay put in US

What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.

Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?

The problem with lab grown diamonds
Why a falling rupee is a better option for the economy

A list of top 20 momentum stocks that have delivered massive returns in one year