Galaxy Series Faces Likely Price Increase Amid Soaring Memory Chip Costs

Samsung Electronics is poised to raise prices for its upcoming Galaxy S26 flagship smartphone series — the first such increase in three years — as surging costs for memory chips and advanced processors driven by the global AI boom make stable pricing increasingly difficult to maintain.

Industry sources told South Korean media outlets, including Korea JoongAng Daily and Yonhap News Agency, that the base 256GB model of the standard Galaxy S26 could see a hike of up to 99,000 won (about $68) from the previous generation’s starting price of around 1.15 million won (approximately $790-$800 in equivalent U.S. terms). Similar adjustments are expected for the Galaxy S26+ and potentially the premium Galaxy S26 Ultra, though the extent varies by market and model.

The anticipated price revision stems from a confluence of factors: skyrocketing demand for high-bandwidth memory (HBM) used in AI applications has strained supply chains, forcing manufacturers like Samsung — the world’s largest memory chip producer — to redirect capacity and drive up costs for standard DRAM and NAND flash used in smartphones. Reports also highlight elevated production expenses for Samsung’s own Exynos 2600 processor, expected in many Galaxy S26 models outside the U.S. and China, built on an advanced 2nm gate-all-around (GAA) process with reportedly lower yields and higher wafer costs.

Even though Samsung fabs its Exynos chips internally, sources indicate the company “is not in a position to purchase Exynos at a cheaper price than its competitors,” suggesting internal pricing pressures and absorbed costs to retain clients in both consumer and enterprise segments.

Samsung’s co-CEO Roh Tae-moon, who heads the Mobile eXperience (MX) division, hinted at potential impacts during a January briefing with reporters, noting that “stronger chip performance required for AI devices is making a price increase inevitable.” Last year, Roh reportedly intervened at the last minute to keep Galaxy S25 prices aligned with the S24 series despite similar pressures. Industry insiders now say even his influence may not suffice for the S26 lineup, with decisions potentially finalized “at the very last minute” ahead of the February 25 unveiling.

The Galaxy Unpacked event, set for February 25, 2026, in San Francisco, will officially reveal the Galaxy S26, S26+ and S26 Ultra, with pre-orders likely opening immediately and devices hitting shelves around March 11. Samsung has teased enhancements focused on Galaxy AI integration, including improved low-light video recording, a new “Privacy Display” feature, and more seamless everyday AI interactions to simplify user tasks.

Expected hardware upgrades remain evolutionary: the S26 Ultra is rumored to feature a 6.9-inch Dynamic LTPO AMOLED display with peak brightness exceeding 3,000 nits, a Qualcomm Snapdragon 8 Elite Gen 5 processor (or Exynos 2600 in select regions), up to 16GB RAM, storage options from 256GB to 1TB, and a camera system headlined by a 200MP main sensor. Battery capacities could see modest increases with stacked technology for better efficiency, while charging remains at 60W wired and Qi2-compatible wireless.

Pricing in major markets like the U.S. remains uncertain but could hold steady at previous levels — $799 for the Galaxy S26, $999 for the S26+, and $1,299 for the S26 Ultra — to stay competitive against Apple’s expected iPhone 17 lineup. In contrast, European and Korean markets face clearer upward pressure, with some leaks suggesting regional variations to offset component inflation.

Analysts express concern that any notable hike could challenge Samsung’s market position in a highly competitive segment, particularly if rivals absorb costs or offer aggressive promotions. Pre-order incentives, including trade-in values up to $900 in some cases, appear scaled back compared to prior years, with reduced free storage upgrades and store credits signaling tighter margins.

Samsung has not commented officially on pricing, emphasizing instead the series’ AI-driven advancements to “make your life easier.” The company continues to promote the event heavily, inviting consumers to register for updates and exclusive perks.
As the February 25 Unpacked approaches, the final pricing decision will clarify whether Samsung opts to pass on rising costs or finds ways to mitigate them through efficiencies, higher base storage allocations, or targeted regional strategies.