As DRAM prices surge worldwide, a new challenge is emerging inside Samsung—one that could have real consequences for future Galaxy phones. Reports indicate growing friction between Samsung’s chipmaking division (Device Solutions, or DS) and its smartphone business (Mobile Experience, or MX), as the company’s semiconductor arm takes a tougher stance on how much memory it’s willing to allocate internally.
At the center of the issue is DRAM supply, a critical component for every modern smartphone. Sources say Samsung’s DS division has declined to guarantee MX more than a year of DRAM supply for multiple upcoming Galaxy models. Instead of locking in long-term volume agreements, Samsung may shift to shorter negotiations every three months. In practical terms, that would force the smartphone unit to secure DRAM on a quarterly basis—right when memory costs are climbing fast and supply conditions are tightening.
What’s driving the standoff is simple: profits. DRAM pricing has jumped sharply in 2025, and DS reportedly wants to take full advantage of the market cycle, choosing higher-margin opportunities over commitments that could limit its flexibility. One example cited in the report is the price of a 12GB LPDDR5X RAM package, which reportedly reached $70 in November—more than double the roughly $33 level seen earlier in the year. With numbers like that, guaranteeing large volumes internally at fixed terms becomes far less attractive for the division that sells the memory.
The situation has reportedly become intense enough that senior Samsung executives stepped in to help negotiate. Even so, the talks only secured MX a DRAM supply covering the fourth quarter through the end of the year, rather than the longer-term arrangement the smartphone team wanted.
This internal tug-of-war is happening as Samsung’s broader semiconductor strategy grows more aggressive. One senior researcher projects Samsung’s operating profit could reach $69 billion in 2026, boosted by higher DRAM and NAND flash prices along with improving yields for 2nm GAA manufacturing. Samsung is also said to be targeting profitability in its foundry business by 2027—an ambition that may require difficult internal trade-offs, including prioritizing memory sales that generate stronger returns.
For consumers, the biggest concern is what this could mean for the Galaxy S26 series, which is expected to launch in February 2026. If DRAM costs stay elevated and MX can’t lock down favorable supply terms, Samsung could face higher build costs—raising the risk of a price increase for its next flagship lineup. That kind of move could put pressure on sales, especially in price-sensitive markets.
That said, Samsung flagships often see discounts not long after release in many regions, which could soften the blow for buyers willing to wait. Still, with memory pricing becoming a bigger factor in smartphone costs, this behind-the-scenes supply battle is worth watching—because it may shape not only availability, but also how much the next generation of Galaxy phones costs at launch.
