Reverse Thinking! Samsung Plans to Purchase Low-Cost Chinese DRAM to Cut Costs and Launches a Counterattack in the Mid- to Low-End Smartphone Market

Glonghui July 27th｜According to Korean media, amid the backdrop of "chip inflation" (rising component prices) in the global semiconductor market leading to a significant contraction of the Chinese mobile phone market, sources in the semiconductor industry reveal that Samsung Electronics is currently planning a counterintuitive strategy: by adopting low-cost, Chinese-produced DRAM, it aims to significantly reduce the manufacturing costs of complete devices (smartphones), thereby greatly increasing the supply of mid- and low-end phones in the local Chinese market. This move is intended to fill the market gap left by a decline in smartphone shipments from Chinese domestic competitors, caused by price increases for components due to the artificial intelligence data center boom.