AI memory shortage raises the value of used smartphones

A global shortage of memory chips, driven by demand for artificial intelligence, is pushing more consumers toward the resale market. Damaged and outdated smartphones that once sat unused are now attracting buyers in refurbishment and repair.

Marketplace figures from B-Stock show that prices for Apple and Samsung devices rose in the second quarter of 2026 compared with the previous two quarters. In the first half of 2026, C-condition phones overtook Grade D devices by volume, accounting for 37.8% of sales versus 31.6% for the lowest tier.

The iPhone 17 Pro Max had the highest average price among Apple models, reaching $940 across all conditions during the quarter. Samsung’s leading models were the S23 Ultra, S22 Ultra and S24 Ultra. The S22 Ultra moved ahead of the Z Fold5 for second place. After the Galaxy S26 launched, a well-kept S23 Ultra reached $425 in June, its strongest month of the year.

B-Stock says manufacturers do not yet routinely recover memory chips from damaged phones because testing, compatibility and reliability checks add complexity. However, rising memory prices are changing the economics of component recovery. Displays, cameras, batteries, charging ports, housings, speakers, cables and circuit boards can retain value even when a phone is beyond repair. A phone traded in after four or more years may receive a low grade because of battery health alone. The trend may redirect electronic waste into a more profitable repair pipeline, but its environmental impact remains uncertain.