Asus confirmed it is indefinitely pausing its smartphone business, pivoting to focus on artificial intelligence products. Chairman Jonney Shih announced the wind-down during a 2026 kick-off event in Taiwan, according to Inside.
Shih stated that Asus will no longer introduce new mobile phone models, effectively ending the Zenfone and ROG Phone lines for the foreseeable future. "Asus will no longer add new mobile phone models in the future," Shih said, according to a machine translation of his remarks. The company will instead concentrate on AI-driven initiatives, including robots and smart glasses.
The decision follows an earlier unconfirmed report suggesting a potential pullback from the smartphone market, which Asus declined to comment on at the time. The Zenfone line, known for its smaller size and competitive pricing, struggled to gain significant market share against established competitors. Its support and update policies also faced criticism.
The impact on Asus's overall financials remains to be seen, though the smartphone division likely represented a relatively small portion of the company's total revenue. While specific figures were not disclosed, the decision suggests that the smartphone business was not meeting internal performance targets. The company will now redirect resources toward the burgeoning AI sector, where it sees greater potential for growth and profitability.
While Shih did not explicitly rule out a future return to the smartphone market, he indicated that the company would adopt a "wait-and-see" approach. The indefinite hiatus suggests that Asus is unlikely to release a new phone in the near term.
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