Samsung to Make 70 Million Fewer Phones in 2026
Samsung plans to make about 70 million fewer smartphones in 2026, according to a report by MoneyToday cited by SammyFans. The company is cutting fourth-quarter production by 30 percent.
The reason is the memory chip shortage. With DRAM prices soaring, Samsung’s mobile division would lose money on every phone it makes. Suppliers have been asked to cut deliveries by 20 to 30 percent.
LPDDR5X memory now costs $145 to $146 for 12GB, up 175 percent from a year ago. In the second quarter, Samsung’s mobile division reported its first-ever deficit.
Total 2026 smartphone output could fall from 270 million to around 200 million units. The mobile division is sacrificing volume to protect margins.
The paradox is stark: Samsung’s memory division is posting its best quarter ever while its phone division loses money. The company that makes the chips cannot afford to buy them.
Analysts say the cuts could tighten global phone supply and push up prices in 2026. Rivals may also trim output if memory costs stay elevated.
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