Samsung Plans 7%-10% Mobile Memory Price Hikes
Samsung Plans 7%-10% Mobile Memory Price Hikes
Anonymous
Key Points
1
Apple’s purchasing scale could give it significant negotiating leverage: analysts estimate that Apple buys roughly twice as much smartphone NAND as Samsung and three times as much as Xiaomi.
2
Omdia estimates that the cost of an 8GB-plus-256GB memory configuration rose from $35 in the third quarter of 2025 to a projected $144 by the fourth quarter of 2026, before accounting for other smartphone components.
3
Samsung’s Galaxy S26 line could face the reported memory-price increase beginning next month in South Korea, with other markets potentially following, although the claim remains unofficial and the Korean source was not identified.
4
Apple has reportedly agreed to pay Samsung nearly $2.00 per gigabit for DRAM and $0.33 per gigabit for NAND in the first quarter of 2027—about 30% to 40% above third-quarter quotes.
5
The potential cost pressure extends beyond phones: Samsung’s pricing increases could also push up the prices of tablets, smartwatches and other consumer electronics before memory-market conditions improve.
Samsung is pushing for price increases of 7% to 10% on mobile memory chips used in smartphones worldwide. MacRumors reports that Apple has already agreed to pay Samsung nearly $2.00 per gigabit for memory in early 2027—roughly 30% to 40% above current rates. The hikes could ripple through the entire smartphone market, affecting iPhones, Galaxy phones, and devices from Chinese makers alike.
Memory chip shortages continue to drive up costs for phone makers. BigGo Finance notes that memory components for smartphones jumped dramatically in price during 2025 and 2026, with an 8GB-plus-256GB configuration rising from $35 in mid-2025 to an estimated $144 by late 2026. Higher component costs could force phone makers to raise consumer prices or absorb the losses themselves.
Samsung Galaxy S26 Hit With Memory Cost Increases
Samsung's new Galaxy S26 line is expected to face higher memory costs starting next month in South Korea. TelecomTalk reports the Galaxy S26 and Galaxy S26 Ultra will receive price increases of about Rs 20,000 in India. The increases stem partly from Samsung's own semiconductor division charging more for chips—even to Samsung's phone division, which gets no special pricing breaks.
Samsung's phone and chip businesses operate as separate units that negotiate independently. This means Samsung's Galaxy phones must pay market rates just like Apple and Xiaomi do. The lack of internal discounts means Samsung phone buyers could see steeper price jumps than if the company gave itself preferential treatment.
Apple's Buying Power Shields It From Worst Price Damage
Apple's massive purchasing scale gives it unique negotiating power in memory chip markets. Industry analysts estimate Apple buys roughly twice as much smartphone NAND flash storage as Samsung and three times as much as Xiaomi. This leverage lets Apple negotiate better rates than smaller rivals—though even Apple's agreed rates represent a significant jump.
Apple's agreement to pay 30% to 40% more for Samsung memory in 2027 sets the tone for the entire industry. BigGo Finance suggests the deal signals other phone makers will likely face similar or steeper increases. Smaller manufacturers without Apple's clout may struggle most with cost pressures.
Chipmakers Prioritizing Expensive AI and Server Memory
Samsung, SK Hynix and Micron are focusing production efforts on pricier memory for artificial intelligence servers rather than smartphone chips. High-bandwidth memory for AI systems commands higher profit margins than mobile DRAM and NAND. This supply constraint in smartphone-grade memory gives chipmakers leverage to raise prices.
Memory shortages are expected to persist through at least 2027, keeping prices elevated. Tech Outlook reports that smartphone makers face a choice: absorb higher costs themselves or pass them along to consumers. Either way, shoppers may see higher prices for phones, tablets and smartwatches as memory expenses climb.
Sentiment
Mostly PositiveNEGATIVENEUTRALPOSITIVE
Publishers
21
Articles
11
Reach
32
A
AnonymousAuthor
