Samsung is preparing to increase smartphone memory prices
As artificial intelligence data centers restrict the supply of mobile memory, Samsung plans to implement a 7 to 10 percent price increase on DRAM and NAND components.
Samsung Electronics' semiconductor division is preparing to raise prices by 7 to 10 percent on the DRAM and NAND memory it supplies to smartphone manufacturers.
Price Increase and Negotiation Process
Samsung Electronics' DS division, responsible for semiconductors, is preparing to implement a new price increase of 7 to 10 percent on DRAM and NAND memory offered to smartphone manufacturers.
The company first communicated its price increase demand to Chinese smartphone manufacturers, and negotiations between the parties are still ongoing.
Apple Meeting in the Last Quarter of the Year
This strategic decision has the potential to create a direct chain reaction on manufacturer costs and final consumer prices.
Samsung plans to sit down at the negotiating table with Apple in the final quarter of the year regarding this increase in mobile memory prices.
AI Demand Constraining Supply
The shift of factory production capacity toward artificial intelligence data centers is restricting the supply of LPDDR memory used in mobile devices and driving prices upward.
According to Omdia data, unit prices for mobile RAM and storage components have shown a gradual increase over the past year.
Possible Reflections on Consumer Prices
Samsung's DX division, which manufactures mobile devices, will not be exempted from this announced price increase in any way.
The increase in memory module costs will narrow manufacturers' profit margins and therefore be reflected as price hikes in retail sales prices.