Finance
Samsung unveils Galaxy S26; lifts prices in key markets amid chip price surge
Published by Global Banking & Finance Review®
Posted on February 25, 2026
2 min readLast updated: February 25, 2026
Quick Summary
Samsung launched the Galaxy S26 lineup and lifted prices in key markets as DRAM costs surge. The S26 Ultra adds a built-in Privacy Display, and the series rolls out starting March 11.
Samsung launches Galaxy S26, raises prices as chip costs soar in key markets
Pricing Strategy and Market Drivers
SEOUL, Feb 26 (Reuters) - Samsung Electronics on Thursday launched its flagship Galaxy S26 smartphones with higher prices for some models in the United States and South Korea, testing demand as soaring memory chip costs pressure margins.
Rivalry with Apple
The rollout, which integrates Perplexity's AI features along with Google's Gemini and an upgraded Bixby, follows Samsung's loss of smartphone leadership last year to Apple, which benefited from strong iPhone demand in China and India.
Chip Shortage and AI Demand
The company last month warned of a worsening chip shortagedriven by the AI boom, with strong memory demand supporting its core chip business but pressuring smartphones and display units.
Data Center Priorities Lift Memory Prices
A global push by firms such as Meta, Google and Microsoft to build AI infrastructure has absorbed much of memory supply, lifting prices as chipmakers prioritise higher-margin data centre components such as high-bandwidth memory chips over consumer devices.
U.S. and South Korea Price Changes
Samsung priced the base Galaxy S26 at $899 in the United States, up 4.7% from the previous model, and the S26 Plus at $1,099, up 10%. Prices for the Ultra were unchanged.
In South Korea, it raised the base model price by 8.6%.
Analysts’ View on Chip Design
Processor Mix: Exynos vs Snapdragon
The company also equipped some S26 models with in-house Exynos processors after using Qualcomm’s Snapdragon chips for the S25, a shift analysts said could support its chip design business and mobile margins.
Built-in Privacy Display
Samsung said the S26 Ultra includes what it calls the industry's first built-in mobile privacy display, limiting side viewing angles.
Availability and Launch Dates
The company said it will begin rolling out the S26 series on March 11.
TrendForce DRAM Price Outlook
Market tracker TrendForce expected conventional DRAM contract prices to surge by 90% to 95% in the January to March period of this year, from the final three months of 2025.
Apple's Tim Cook said in a post-earnings conference call in January he expected memory chip prices to increase sharply, but declined to answer analysts' questions about whether Apple would raise prices in response.
(Reporting by Heekyong Yang; Editing by Nivedita Bhattacharjee)
Key Takeaways
- •Samsung launched the Galaxy S26 series and raised prices in the US and South Korea; US base is $899 and S26 Plus is $1,099, with Ultra unchanged.
- •Surging memory chip costs and AI-driven demand are pressuring margins, prompting selective price hikes.
- •TrendForce projects conventional DRAM contract prices to jump 90%–95% QoQ in Q1 2026.
- •Select S26 models return to in-house Exynos chips alongside Qualcomm, aiding mobile margins.
- •S26 Ultra debuts a built-in Privacy Display; global rollout begins March 11.
Frequently Asked Questions about Samsung unveils Galaxy S26; lifts prices in key markets amid chip price surge
1What is the main topic?
Samsung launched the Galaxy S26 series and raised prices in major markets due to a surge in memory chip costs, highlighting how AI-driven demand is squeezing smartphone margins.
2How much does the Galaxy S26 cost?
In the US, the base Galaxy S26 is $899 and the S26 Plus is $1,099, while the Ultra’s price is unchanged. In South Korea, the base model price rose about 8.6%.
3Why did Samsung raise prices?
A sharp increase in DRAM prices, driven by AI infrastructure demand and tight supply, is lifting component costs and pressuring profitability, prompting selective price hikes.
4When does the S26 series roll out and what’s new?
Rollout begins March 11. The S26 Ultra adds a built-in Privacy Display, and some S26 models use Samsung’s Exynos chips alongside Qualcomm to support margins.
