Oppo and Realme hike prices on over 40 models amid AI-driven component shortage, says industry report

According to data released by Counterpoint Research, artificial intelligence (AI) linked component shortages have hit Chinese brands Oppo and Realme hardest in India, with both raising market operating prices (MOPs) on more than 20 smartphone models each during March and April 2026.

Oppo increased MOPs by Rs 2,000 to Rs 4,000, representing a rise of 3 per cent to 18 per cent, while Realme raised MOPs by Rs 500 to Rs 3,000, or 3 per cent to 12 per cent, over the same period.

An MOP is the lowest price at which a brand permits a retailer to sell a handset to consumers. It serves as the real-world baseline price used by both physical stores and online platforms to maintain fair competition and prevent aggressive undercutting.

Among other brands, South Korean Samsung raised MOPs on over 15 models by Rs 500 to Rs 3,500, or 2 per cent to 25 per cent. Chinese brands Xiaomi and Vivo each increased MOPs on over 10 models, with Xiaomi raising prices by Rs 1,000 to Rs 3,000 (7 per cent to 15 per cent) and Vivo by Rs 1,000 to Rs 4,000 (5 per cent to 25 per cent). Long-tail brands raised MOPs on more than 30 models by Rs 500 to Rs 5,000, an increase of 4 per cent to 28 per cent.

The Rs 10,000 to Rs 20,000 price band was the most affected segment between March and April 2026, with over 50 stock-keeping units (SKUs) from brands including Oppo, Samsung, Realme and Poco seeing hikes of Rs 500 to Rs 4,000, translating to a 3 per cent to 28 per cent price impact. The budget sub-Rs 10,000 category, led by Xiaomi and Samsung across more than 10 SKUs, faced increases of Rs 500 to Rs 2,000, or 6 per cent to 25 per cent. The Rs 20,000 to Rs 30,000 segment, covering over 40 SKUs from Realme, Vivo, Oppo and Xiaomi, saw hikes of Rs 1,000 to Rs 4,000, representing a 3 per cent to 19 per cent impact. The premium above-Rs 30,000 segment was the least affected, with over 25 SKUs from Oppo, Samsung, Realme and Vivo seeing a 2 per cent to 11 per cent impact despite absolute increases of Rs 1,000 to Rs 5,000.

In total, more than 130 smartphone models saw MOP hikes in April alone. Between November 2025 and April 2026, over 250 models underwent price revisions of up to 53 per cent, with absolute increases reaching as high as Rs 8,000.

Moving ahead, Counterpoint expects the April to June 2026 quarter to be even more challenging, with memory costs projected to rise a further 80 per cent sequentially and additional retail price increases expected across brands. The research firm has accordingly cautioned of a double-digit annual decline in India’s smartphone market.