Lack of affordable smartphones to create AI divide

GSMA warned in its SOMIC report that rising memory and chip prices due to AI infrastructure demand are making budget smartphones unaffordable. 3.4 billion people do not use mobile internet, 70% of them lack a device. Reducing prices to $20–30 would cover an additional 1.6–2.2 billion people.

• 3.4 billion people do not use mobile internet, up from 3.1 billion a year ago
• 70% of those outside coverage simply do not have a device
• For the poorest 20% in developing countries, a smartphone costs 44% of monthly income
• Prices of $20–30 would make connectivity accessible to another 1.6–2.2 billion people