Moto's Affordable Phones Now Cost Up to 50% More as Chip Shortage Bites

Motorola has quietly raised prices on its budget Moto G lineup by up to 50% due to the ongoing global chip and component shortage, with the new Moto G Stylus now starting at $500.
Motorola has announced a new mid-range phone, the 2026 Moto G Stylus, but it's not exactly a game-changer unless you demand a stylus with your smartphone. Despite little in the way of upgrades, the new G Stylus will debut at $500, which is $100 more than last year's version. It's now clear that higher pricing will be a trend in Moto's lineup, as the company has enacted price increases of up to 50% on the rest of its 2026 Moto G series without so much as a peep.
Prior to the G Stylus announcement, Moto had three 2026 G-series phones—the Moto G Play, Moto G, and Moto G Power. They used to sell for $180, $200, and $300, respectively. In the past day, the Moto G Play increased to $250, which is a 38% increase. The 2026 Moto G went to $300—a whopping 50% price bump. Finally, the top model in Moto's budget lineup, the Moto G Power, is now $400. That's a 33% jump, putting it close to Samsung's latest mid-range phones and $100 shy of the new Moto G Stylus.
Seeing a higher price tag on the new Moto G Stylus wasn't a surprise given current hardware conditions, and the phone does have a few small upgrades. The battery capacity is slightly larger, and the stylus has basic pressure sensitivity support now. However, that hardly justifies a $100 increase over last year's model, which had the same display and memory. It makes more sense in the context of an across-the-board price increase for Moto's budget lineup.
The global chip shortage and other supply chain disruptions have been hitting the tech industry hard, forcing companies to make tough decisions. For Motorola, that has meant passing on higher costs to consumers. While the new Moto G phones may still be a good value compared to flagship devices, the price hikes are sure to price out some budget-conscious buyers.
It remains to be seen how customers will react to Motorola's price adjustments. The company will need to carefully balance its desire to maintain profit margins with the risk of alienating its core audience of price-sensitive smartphone shoppers. As the global component crunch drags on, more brands may follow Moto's lead in raising prices on their entry-level and mid-range offerings.
For now, the latest Moto G lineup still represents a compelling option for those seeking an affordable Android experience. But with prices creeping ever closer to the $400 and $500 mark, Motorola may be in danger of losing its budget-friendly positioning in the crowded smartphone market.
Source: Ars Technica


