Samsung's Internal Memory Dispute May Drive Up Galaxy S26 Prices

Internal Strife: Samsung's Memory Division Blocks Supply to Itself Amidst Rising DRAM Costs

In a surprising turn of events that could ripple through the smartphone market, insiders reveal that Samsung's own semiconductor division, DS (Device Solutions), has refused to supply its mobile division, MX (Mobile Experience), with a year's worth of DRAM memory. This internal snub, reported by Wccftech citing SEdaily, stems from a stark financial reality: the DS division can apparently fetch a higher price for its memory chips on the open market. This strategic, albeit internally contentious, move casts a shadow over the much-anticipated Samsung Galaxy S26 launch, with price hikes appearing increasingly inevitable.

The DRAM Dilemma: A Soaring Market and Shifting Priorities

The cost of LPDDR5X, a crucial component for modern smartphones, has more than doubled since the beginning of the year. This dramatic price surge has forced a fundamental reevaluation of supply contracts. Instead of securing a long-term, year-plus agreement that would guarantee consistent supply for Samsung's mobile devices, the MX division is now facing a precarious quarterly review of DRAM shipments. This means they must re-negotiate and re-request these vital components every three months. Industry sources indicate the situation had become so tense that high-level Samsung executives were compelled to step in and mediate between the warring internal factions.

Galaxy S26 on the Brink: Price Hikes and Market Uncertainty

While negotiations are ongoing, the MX division has only managed to secure DRAM supplies through the end of the current year. The DS division, empowered by the soaring market prices, holds the contractual right to refuse further supply if it doesn't align with current market-driven pricing. This internal tug-of-war is directly linked to Samsung's overarching financial ambitions. The company anticipates a substantial operating profit of $69 billion in 2026, with rising DRAM and NAND prices expected to be a significant contributor. Consequently, the conflict between Samsung's divisions reflects a broader corporate strategy to maximize profitability across the board. This makes a price increase for the Galaxy S26, slated for a February 2026 release, almost a certainty. However, for savvy consumers, there might be a glimmer of hope. Samsung smartphones often see price drops relatively quickly after their initial launch in many markets, offering a potential window to acquire the next flagship at a more palatable price.