Samsung Considers Chinese-Made DRAM for Low-to-Mid-End Phones in China to Cut Costs

Samsung Electronics’ mobile experience division is considering the use of Chinese-made DRAM in low-end and mid-range smartphones sold in the Chinese market, including models in the Galaxy A series. The plan aims to adopt less costly Chinese LPDDR5X memory to counter pressure on phone profit margins from rising component prices.

Samsung’s share of the Chinese smartphone market has fallen to 0.6%. The consideration of Chinese DRAM is partly to lower production costs and improve its competitive position in the Chinese market. The specific Chinese memory supplier has not yet been identified, and it remains undecided whether the procurement decision will be finalized.