Mangaluru: A global shortage of memory chips is driving up the cost of computers and laptops in Mangaluru, with local dealers reporting a sharp decline in sales and customer footfall as prices rise.Mangalore IT Dealers Association cited reports that the rise in electronics prices is driven by higher memory chip costs and rapid AI adoption, leading to a global shortage of memory chips.Melwin Dias, president of the association, said that apart from computers and laptops, surveillance system devices are also experiencing a decline in business. He said increased component costs have led to a significant drop in customers, with the surveillance-based IT sector alone seeing a decline of about 40%.An executive at an HP store in the city said sales have dropped by nearly 50% over the past five months. Laptops that previously cost around Rs 30,000 now sell for nearly Rs 60,000. Earlier, around 45–50 laptops were sold, but in recent months sales have fallen to about 20–25 units.Nagendra Prabhu of Suprabhath Computers said he has witnessed a decline of more than 50% in the sales of computers, laptops and SSDs.Panduranga Shenoy of Shenoy Computers at Bunts Hostel said systems with i3 processors, which earlier cost around Rs 35,000–40,000, are now priced close to Rs 60,000. Shenoy, a distributor for brands such as Lenovo, Dell and Brother, said his sales have dropped sharply since Jan this year, with the slowdown affecting demand across product categories.While computer and laptop dealers are reporting steep declines, the impact on the smartphone sector has been relatively moderate.Arihanth Jain, secretary of the Dakshina Kannada and Udupi Mobile Retailers Association (DKUMRA), said overall sales across the twin districts remain average, largely due to the availability of EMI options. “We do not see a major decline, but rising prices have had a slight impact,” he said.Shahul Hameed of Phone Zone, Hampankatta, said sales remain steady as customers opt for better smartphones, with EMI options helping. He said buyers are increasingly moving away from budget smartphones because of their lower perceived value and the limited availability of 5G models in that price range.A manager of another mobile store said monthly billing has dropped from around 300 devices to nearly 200.A sales executive at Day to Day Digital said there has been a slight decline in customer numbers, with many preferring budget and mid-range devices over premium models.Mohammed Muneer, a retailer from BC Road, said customers who earlier upgraded two- to three-year-old phones are now choosing to keep their existing devices longer.
