Some smartphone makers are putting working RAM chips recovered from old devices into new budget phones as memory shortages push up component costs. According to TrendForce’s latest industry research, these are primarily 4 GB LPDDR4X modules, which could mainly go into 4G smartphones priced below 1,299 Chinese yuan, or roughly $200.
This is a workaround at the component level, not a shift to selling refurbished handsets. Reused RAM currently appears in only around 3–4% of cheaper phones. TrendForce expects that share to reach 7–9% by 2027. It also says the share could double next year, without specifying the comparison year. Counterpoint Research has also reported on the increasingly visible trend, which is covered by MakeUseOf and TechRadar.
The process starts with manufacturers or component suppliers removing functioning memory chips from the motherboards of old devices that are no longer in use. They clean and refurbish the chips, then create new solder connection points so the parts can be fitted into another device. This process is known as reballing.
AI data centers need huge quantities of memory. Chipmakers are devoting more production capacity to the higher-margin memory types those facilities require, leaving less conventional DRAM for consumer-electronics manufacturers. That squeeze has also driven substantial memory price increases in the mobile segment. DDR5 prices have started climbing again, and current forecasts suggest that rise won’t slow in the first quarter of 2027.
Apple, Samsung and other major industry players have proved more resilient to these pressures. Smaller manufacturers have far less room to maneuver, since memory can account for a substantial share of a handset’s total manufacturing cost. Buyers of these low-cost phones are particularly price-sensitive, so manufacturers want to avoid passing the full component cost increase on to them.
The method carries risks, too. Older components can vary in condition, and excessive heat or poor soldering during refurbishment can damage them. Low-quality recycling can lead to stability problems, freezes and unexpected shutdowns. As recovered RAM reaches more budget phones, the practical question is whether refurbishment can scale without making those failures the hidden cost of a lower price.
