Asus has confirmed it is exiting the smartphone market, ending new ROG Phone and Zenfone launches as it shifts focus to AI servers, commercial PCs and robotics.
Asus Confirms Exit from the Smartphone Business
Asus has officially confirmed that it is moving away from the smartphone business, bringing an end to one of the most distinctive gaming-focused brands in the Android ecosystem. The confirmation follows earlier industry reports suggesting that the company would not launch any new phones this year. For many mobile gamers who saw Asus ROG devices as performance powerhouses, the announcement marks the close of an era.
Chairman Jonney Shih made the company’s position clear during a special event gala at the Taipei Nangang Exhibition Center. He confirmed that Asus has no plans to introduce new smartphones in its product roadmap. Instead, the company will concentrate on other areas where it sees stronger long-term growth potential and a clearer strategic fit with its core hardware strengths and enterprise relationships.
Shift from Phones to AI, Commercial PCs and Robotics
According to Shih, Asus will redirect resources and research and development efforts toward commercial PCs and what the company calls physical AI, including robotics, smart glasses and other next-generation devices. The move aligns with a broader industry trend in which hardware manufacturers are prioritising artificial intelligence workloads, edge computing and enterprise solutions over crowded and low-margin smartphone segments.
Asus emphasised that existing smartphone customers will not be abandoned. The company has committed to continue providing maintenance, software updates and warranty support for users of current ROG Phone and Zenfone models. However, with no new generations on the horizon, enthusiasts who rely on Asus phones for high-refresh gaming, advanced cooling systems or custom accessories may eventually need to look to rival brands for future upgrades.
AI Servers Drive Revenue Growth
Financially, Asus appears to be entering this transition from a position of relative strength. Shih reported that the company generated TWD 738.91 billion, or around $23.4 billion, in revenue in 2025. This represented a 26 percent increase compared to 2024, signalling that the company’s core businesses are delivering solid top-line growth despite the decision to step back from smartphones.
A major driver of this performance has been the company’s AI server business, which Shih said recorded 100 percent growth and successfully doubled its own internal targets for the year. Demand for AI-optimised data centre hardware has surged worldwide as cloud providers, enterprises and research institutions rush to build capacity for generative AI models and other compute-intensive applications. For Asus, focusing on servers, workstations and AI-ready infrastructure could deliver stronger, more predictable returns than the highly competitive consumer smartphone market.
What Asus Exit Means for ROG and Zenfone Fans
The writing had been on the wall for some time. Over recent years, Asus gradually reduced its smartphone portfolio, trimming back the Zenfone lineup and limiting the number of ROG Phone releases. In 2025, the company launched only two smartphones—the ROG Phone 9 FE and the Zenfone 12 Ultra—and reports suggested that neither model achieved strong sales. Against this backdrop, a full strategic exit is less surprising, though still disappointing for loyal users.
For gamers and power users, Asus ROG Phones were known for aggressive specifications, gaming-centric features, shoulder triggers, accessory ecosystems and bold designs that stood out from mainstream flagships. With Asus stepping away, other brands that still offer high-performance gaming phones may step in to fill the gap, but the market will lose one of its most recognisable specialist players. Over time, fans will need to evaluate alternative options and consider whether other manufacturers can match the combination of performance, cooling and customisation that ROG devices delivered.
More broadly, the move underscores how difficult it has become for even well-known hardware companies to sustain a global smartphone business unless they can achieve huge scale, deep carrier relationships and strong brand pull in multiple regions. Asus is choosing to focus its capital and engineering talent where it sees the greatest opportunity: AI servers, commercial PCs and physical AI devices. For the smartphone industry, it is another reminder that the era of endless new brands and niche lineups is giving way to consolidation and sharper strategic choices.
