Samsung unveils wider foldable phone, hikes prices as chip costs rise

Samsung is likely to increase its global smartphone market share in 2026 though the overall market is set to contract a record 14% due partly to a memory chip shortage, IDC forecast. Foldable shipments, on the other hand, are likely to grow 20%, IDC said.

Some analysts expect Samsung's mobile division to post its first-ever quarterly loss in April-June as surging chip prices squeeze profit margins, even as they fatten margins at Samsung's semiconductor business to record highs.

Memory and storage account for more than 60% of material costs in budget smartphones and more than 30% in premium models, Omdia data showed.

"Memory is a much smaller share of the bill of materials on a device above $1,500 than on a mid-range phone, so there is more room to absorb (higher chip prices) at the top-end," said Omdia senior analyst Sheng Win Chow.

"The harder question is what justifies the price. A bigger screen alone is no longer enough," he said.