Samsung is set to launch the Galaxy S26 series early next year, following a torrent of rumors that have revealed almost everything about the devices. One key aspect remains unknown, though, and it seems that the company is also struggling to clarify it.
Samsung has a pricing problem with the Galaxy S26
A recent report revealed that Samsung is selling the recently released Galaxy Z TriFold at a loss, as the production cost is higher than its price tag. Considering the low sales of the device, that’s not much of a problem for the company. However, the same approach would be unacceptable with the Galaxy S26 series.
According to a report (translated source) from Korea, Samsung is struggling with the pricing of the Galaxy S26 because it cannot make any compromises with its profitability. The company has been affected by the rising component prices, and it’s expected to take more time to figure out the final price of the devices.
One way to resolve the issue would be to raise the prices, but that could potentially reduce sales. On the other hand, keeping the same price as last year would lead to a decline in profitability, which would put the company in a difficult situation.
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Multiple factors are at play
Samsung Galaxy S25 Plus and S25 Ultra. | Image credit – PhoneArena
Samsung’s biggest challenge is the recent surge in memory prices, which are expected to rise an additional 30% to 40% next year. Furthermore, the company cannot rely on its own Exynos chipsets and is forced to pay Qualcomm’s high prices to use Snapdragon processors for most of the Galaxy S26 devices.
However, that’s not all. OLED displays are also becoming more expensive, which has reportedly forced Samsung to reach out to Chinese display manufacturer BOE to supply it with panels in the future. While that’s not confirmed, it could help the Korean company.
Would you pay a higher price for a Galaxy S26?
Yes, as much as necessary
10.53%
Maybe, if it’s up to 10% higher
0%
Maybe, if it’s up to 5% higher
5.26%
Maybe, if the upgrade is meaningful
26.32%
No way, phones are too expensive already
57.89%
Samsung is far from the only smartphone manufacturer that struggles with the pricing of its devices. Recently, Xiaomi was reported to settle on a 10% price increase for the Xiaomi 17 Ultra. Apple is also widely expected to raise its prices, with all flagship devices expected to be about 10% more expensive.
Low-end devices are likely to see the steepest price hikes, which may reach up to 25%. Not as significant, but still painful, is the forecast for about a 15% increase in the price of mid-range phones. The increase is likely to be industry-wide and include every manufacturer.
Thank you, AI!
The biggest factor in the rising component prices is the rapid expansion of AI infrastructure, which is taking over most of the memory production. As fun as AI is, it is a bummer that it’s making basically every gadget, from smartphones to gaming consoles, much more expensive than before.
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Ilia, a tech journalist at PhoneArena, has been covering the mobile industry since 2011, with experience at outlets like Forbes Bulgaria. Passionate about smartphones, tablets, and consumer tech, he blends deep industry knowledge with a personal fascination that began with his first Nokia and Sony Ericsson devices. Originally from Bulgaria and now based in Lima, Peru, Ilia balances his tech obsessions with walking his dog, training at the gym, and slowly mastering Spanish.
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