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Samsung Weighs Price Hike for Galaxy A and M Phones as DRAM Costs Climb

Rising demand for HBM in AI servers has squeezed standard DRAM supply, pressuring phone makers to rethink pricing.

Overview

  • A Hankyung report says Samsung is considering raising prices on lower-cost Galaxy models, with the Galaxy S line likely spared for now.
  • The potential increases are tied to a DRAM shortage driven by manufacturers prioritizing complex, higher-margin HBM used in AI data centers.
  • Market reporting cites memory price jumps of up to about 50%, with Samsung’s DDR4 and DDR5 modules previously up as much as 20%.
  • Analysts expect tight DRAM supply for more than two years, and Samsung’s expanded advanced DRAM capacity is at least a year away from easing constraints.
  • Other vendors have begun passing on higher component costs, with Xiaomi’s latest Redmi K90 launching at roughly 7.5% more than its predecessor.