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Samsung cuts Galaxy A production as memory prices soar

Original: Samsung is slashing Galaxy A production by 20%—about 10 million units—because skyrocketing memory prices make mid-range

Samsung is cutting Galaxy A smartphone production by around 20%, roughly 10 million units, as surging memory chip prices squeeze margins on mid-range phones. Memory now accounts for more than half of component costs in that segment, with suppliers prioritizing higher-margin AI chips. Commenters see the move as Samsung sacrificing volume to protect profitability while the memory shortage reshapes the phone market.

Why now: Rising memory prices tied to AI chip demand are forcing a major manufacturer to scale back a best-selling phone line, signaling broader cost pressure across consumer electronics.

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• Samsung is slashing Galaxy A production by 20%—about 10 million units—because skyrocketing memory prices make mid-range phones barely profitable. Memory now claims over half of mid-tier component costs as suppliers prioritize high-margin AI chips. By sacrificing volume to… · asiaai

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