- Asus (OTC Pink:ASUUY) is ending development of new Android smartphones, with chairman Jonney Shih stating the company will “no longer add new mobile phone models.”
- The company is shifting resources toward AI-focused hardware, including commercial PCs, robotics, and AI glasses as part of a larger business realignment
- Existing Asus phone users will still be supported, but the Zenfone and ROG Phone lines are effectively discontinued
- Asus stock (OTC Pink:ASUUY) last traded at US$87.25
Asus (OTC Pink:ASUUY) is officially stepping away from the Android smartphone market, marking the end of an era for its Zenfone and ROG Phone lineups.
During the company’s 2025 Year-End Gala earlier this month, chairman Jonney Shih confirmed that Asus will “no longer add new mobile phone models in the future” as the company redirects its resources toward artificial intelligence–driven hardware.
Shih’s remarks, reported by Inside and translated from the event, leave little ambiguity: Asus is effectively exiting the Android smartphone space rather than merely pausing new product releases. While he emphasized that the company will “continue to take care of the brand’s mobile phone users,” the commitment now lies entirely with supporting existing owners rather than expanding its device catalogue.
A total pivot toward AI
According to Shih, Asus is reallocating the research and development budget once dedicated to smartphones toward what he called a broader “paradigm shift” centred on AI. That includes a growing portfolio of “commercial PCs and physical AI devices,” such as AI-powered robots, robotics platforms, and AI glasses — all areas the company believes offer substantially more long-term opportunity than the increasingly saturated smartphone market.
This shift reflects broader trends across the tech industry, where companies are rushing to position themselves at the forefront of AI hardware, edge computing, and machine learning ecosystems. Asus, whose phones have long occupied niche segments, appears to have determined that these emerging categories provide greater potential for growth and differentiation.
End of the line for Zenfone and ROG phones
The decision effectively marks the end of two of Asus’s most recognizable mobile brands. The Zenfone series, known for compact designs and innovative camera modules, and the ROG Phone line, popular among mobile gaming enthusiasts, now appear to be discontinued indefinitely. Other outlets have similarly reported that the company’s smartphone business is entering a full wind-down, with no new releases planned for 2026 and beyond.
While Shih avoided issuing an outright, permanent exit statement — leaving a narrow interpretation that the pause could be temporary — the scale and clarity of the pivot toward AI suggest that a return to phone development is unlikely in the foreseeable future.
A sign of the times for smartphone makers
Asus joins a growing list of hardware manufacturers that have stepped away from smartphones amid intense competition, rising production costs, and shrinking profit margins. With AI components and high-performance memory becoming more expensive, analysts note that companies without massive market share face increasing pressure to cut back or refocus.
For Asus — a company with strong foundations in PCs, components, and now AI infrastructure — the choice appears intentional rather than merely reactive. As the tech world shifts toward “AI everywhere,” Asus intends to position itself as a leader in the developing ecosystem of AI-driven hardware tools and platforms.
Asus rival Redmagic celebrated rumours of the brand’s exit.
Asus stock (OTC Pink:ASUUY) last traded at US$87.25 and has fallen more than 11 per cent in U.S. markets since this time, last year. Overseas in Asian markets, it has fallen more than 14 per cent in that time.
AsusTeK Computer Inc. researches and develops, designs, manufactures, sells, and repairs computers, communications, and consumer electronic products in Taiwan, China, Singapore, Europe, the United States, and internationally.
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