Nothing has reportedly put its next CMF smartphone on hold after a sharp increase in memory prices made it difficult to maintain the brand's budget-friendly approach. The decision affects the successor to the CMF Phone 2 Pro, which many fans expected to arrive later this year.
According to company executives, the biggest challenge is no longer processors or displays. Instead, RAM has become the most expensive component in smartphone manufacturing. Nothing says the rising cost of memory has made it difficult to build a device that offers meaningful upgrades without pushing prices significantly higher.
CMF was created as Nothing's affordable smartphone brand. The lineup gained popularity by offering strong specifications, a distinctive design, and competitive pricing. However, budget devices typically operate on thinner profit margins than premium smartphones.
Nothing co-founder Akis Evangelidis said the company had been developing a successor to the CMF Phone 2 Pro, but ultimately decided not to release it this year.
"We were working on a successor, but with memory prices where they are right now, we can't build a phone that feels like a genuine step forward at a price that makes sense for CMF," Evangelidis explained.
Reports suggest that even producing a device with specifications similar to the current CMF Phone 2 Pro would cost substantially more today, given rising RAM costs.
The global technology industry has been dealing with increasing memory costs, driven largely by strong demand from AI infrastructure and data centres. Company executives have warned that RAM prices have risen multiple times in a short period, making memory one of the costliest smartphone components.
Industry analysts believe the pressure could continue for some time, forcing manufacturers to rethink pricing strategies and product roadmaps, especially in the budget and mid-range segments.
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While there may not be a new CMF smartphone this year, Nothing has indicated that other CMF products remain in development. The company has also hinted that upcoming launches under the main Nothing brand are still on track.
The development poses an increasing problem for smartphone manufacturers. With the cost of components steadily rising, companies will have to make tough decisions regarding price, performance, and innovation.