… The AI sector’s demand for RAM has led to unprecedented price increases, while components like displays and chipsets have seen price hikes too. It also comes amid the US-Israeli war in Iran, which has seen rising oil prices as a result. …
… That makes it much harder for manufacturers to simply pass rising memory costs on to us buyers. …
… And with costs rising and margins shrinking, is it even worth trying to hold on to whatever share you might have? …
… Budget devices are more exposed than flagships, simply because they have far less room to absorb rising component costs. According to Counterpoint , DRAM’s share of bill-of-materials BOM costs in affordable sub-$200 and mid-tier $400–$600 smartphones has surged over the past year. …
… News of a potential full-year loss follows a report last month that Samsung’s mobile division had entered “ emergency management ” due to rising component prices and the possibility of a deficit. …
… Samsung Electronics including its mobile division is reportedly operating under “ emergency management ” due to rising component and logistics costs. …
… While Android OEMs are battling rising component costs , Apple has managed to keep its pricing for entry-level models like the iPhone 17e stable, even doubling the base storage to 256GB. …
… With component costs already on the rise amid the ongoing RAM crisis , the addition of an extremely expensive Pro chipset could push next-generation Ultra flagships, like the Galaxy S27 Ultra, into significantly higher price brackets than we’re used to. …
… Still, with Motorola having raised prices on several phones just yesterday, this may be another sign that component pressure is starting to show up in retail pricing. If you were already eyeing a Galaxy Z Fold 7, these rising prices aren’t likely to sway you toward purchase. …
… No one will be able to escape rising component costs, and every company has to decide how to handle price increases. …