The rise in NAND memory prices that began at the end of 2025 is forcing smartphone manufacturers to radically revise their product lineups. According to the well-known insider Digital Chat Station, companies are массовly canceling orders for models with 1 TB of internal storage and shifting their focus to 512 GB versions. He reported this on his Weibo page.

512 GB as the New Gold Standard

Even though the price difference between 256 GB and 512 GB configurations is about 400 to 500 yuan, which is roughly 60 to 70 dollars, the 512 GB versions currently show the most stable demand. Buyers are willing to pay extra for more storage, but they are not ready to overpay for 1 TB, which for most users remains excessive.

In the mid-range segment, around 2500 yuan or about 360 dollars, the situation is especially acute. Manufacturers are forced to reduce the number of available configurations in order to preserve profit margins. Many models that were originally planned with 1 TB of storage are now either canceled entirely or released only in 256 GB and 512 GB versions.

Flagships with Snapdragon 8 Elite Gen 5 Are Also Affected

According to Digital Chat Station, some customers of the Snapdragon 8 Elite Gen 5 flagship chipset have reduced their original purchase volumes precisely because of the rising cost of memory. This has led to adjustments in release plans and pricing strategies. Some models that were supposed to debut with 1 TB as the base option will now offer only 512 GB as the maximum configuration.

This trend is particularly noticeable in China, but it is already spreading to the global market. Manufacturers are recording lower demand for top-tier configurations and are canceling orders for devices that have not yet been officially announced.

Why 1 TB Has Become Unprofitable

The main reason is the sharp increase in NAND prices caused by Samsung, SK hynix, and Micron redirecting their production capacity toward HBM and server memory for AI accelerators. The consumer segment, including smartphones, receives minimal capacity, which leads to shortages and higher costs. As a result, 1 TB has become too expensive for the mass market, even for flagship devices.

What This Means for Buyers

  • 512 GB versions remain the most popular and cost-effective choice.
    • Models with 1 TB will become rare and will mainly appear in top-tier configurations with a noticeable price premium.
    • In the mid-range segment, roughly 350 to 450 dollars, 1 TB will almost completely disappear from lineups.

In Brief

Smartphone manufacturers are widely abandoning 1 TB storage versions because of the sharp rise in NAND memory prices. The most popular configurations now are 512 GB, which show stable demand even with an extra cost of about 50 to 60 dollars compared to 256 GB. Flagships based on the Snapdragon 8 Elite Gen 5 are also cutting back on maximum storage options. One terabyte is becoming a niche and expensive variant, and in the mid-range segment it is almost disappearing. This is the new market reality for 2026.