Asus Confirms Exit from Smartphone Market

Early this month, there were unconfirmed reports suggesting that Asus was scaling back its smartphone efforts. While the company remained silent at the time, Asus chairman Jonney Shih has now officially announced the discontinuation of its smartphone business during a recent event in Taiwan.

Shift in Focus Towards AI Products

During a kick-off event for 2026 in Taiwan, Shih outlined Asus’s new direction, indicating that the company will now prioritize artificial intelligence products, such as robots and smart glasses. “Asus will no longer add new mobile phone models in the future,” Shih stated (as translated). This marks a significant shift in the company’s strategic focus.

No New Zenfones or ROG Phones on the Horizon

Tech enthusiasts can expect no new iterations of the Zenfone or ROG Phone lines in 2026. Although Asus has decided to halt its smartphone production, Shih mentioned the possibility of adopting an “indefinite wait-and-see” approach regarding future phone models. While not completely ruling out the possibility of new releases, the company appears to be stepping away from the smartphone arena for the foreseeable future.

Challenges with the Zenfone Series

The Zenfone line has struggled to make a significant impact, primarily due to its lack of strong support and update policies compared to market leaders. Positioned as a smaller and more affordable alternative, the Zenfone managed to attract minimal interest from consumers. Many buyers were unaware of the latest releases from Asus, which likely contributed to the company’s decision to withdraw from the market.

ROG Phone: A Niche in Gaming

Asus’s ROG Phone series carved out a niche in the gaming smartphone market, renowned for its powerful chipsets and unique features such as active cooling and multiple USB-C ports. However, with prices soaring beyond those of flagship devices, including the ROG Phone 9 Pro starting at $1,200, the target audience remains limited. The trend suggests a dwindling segment of users inclined to choose gaming phones over popular models like the latest iPhone or Samsung Galaxy.

Future Updates for Existing Devices

Asus has confirmed that support for existing devices will continue, although the company’s update policies have historically lagged behind competitors. The ROG Phone 9 Pro is guaranteed only two Android OS updates and five years of security patches, while recent Zenfones receive a mere two Android version updates along with four years of security support. This raises questions about the longevity and reliability of Asus devices in an ever-evolving tech landscape.

The Larger Trend in the Smartphone Industry

Shih’s statements signify that Asus is unlikely to re-enter the smartphone market unless substantial changes occur. This step is part of a broader trend, as various OEMs have been withdrawing from the smartphone sector due to dwindling consumer interest and shorter upgrade cycles. As users hold on to their devices longer, companies may find it increasingly difficult to justify the costs associated with smartphone development.