The South Korean giant will raise its prices by 3% to 5%, amid a global escalation driven by high demand and fears of new tariffs.
Samsung Electronics has confirmed that it will increase the prices of its DRAM and NAND Flash memories by 3% to 5%, according to sources in the South Korean industry. This move mirrors the decision announced days earlier by Micron, and it is expected that SK Hynix, the third-largest global manufacturer, will soon follow suit. This solidifies an upward trend that is already affecting a large part of the tech sector and will typically be passed on to the end consumer.
With a 41.5% market share in DRAM and 36.9% in NAND, Samsung clearly leads the global memory market. Alongside Micron, both companies control around 64% of the DRAM market and over 52% of NAND Flash, meaning any price adjustment has a direct and significant impact worldwide.
Factors Behind the Increase
Although the new tariffs announced by the United States do not directly affect semiconductors, the fear of a potential expansion of these trade restrictions, driven by the Trump administration, is causing a surge in demand. Various tech companies are hoarding hardware as a precautionary measure, which has led to increased orders and allowed manufacturers to raise prices.
Additionally, Samsung is looking to offset an expected decline in its profits. In the first quarter of 2025, the company estimates a net profit of $3.2 billion, which would represent a 27.8% decrease compared to the same period the previous year. An increase in memory prices would help stabilize its results, following a record 2024 with profits exceeding $23.8 billion, a year-over-year increase of 122.5%.
Price Increases for DDR5 and NAND Flash as Well
The increase doesn’t affect all technologies equally. According to DramExchange, the price of DRAM DDR4 chips for consumer computers has remained stable at $1.35 per GB for four consecutive months. In contrast, DDR5, which is in higher demand for high-performance environments and gaming, has risen by 12%, reaching $4.25 per GB.
In storage, NAND Flash memory is also continuing its climb, with a 9.6% increase, marking three consecutive months of rises. Memory prices are expected to keep rising during the second quarter of 2025, solidifying a trend that affects both hardware manufacturers and end consumers, from personal computers to smartphones and data centers.
Global Outlook
With this new move, Samsung confirms its strategy to leverage the current geopolitical and market context to strengthen its profitability in the memory business. The expectation is that price increases will persist throughout the year, fueled by demand showing no signs of slowing down and a carefully adjusted supply from major players in the sector.
Analysts predict that these seemingly moderate adjustments will have a significant cumulative effect as they persist over time, affecting not only consumers but also manufacturers who rely on these memories for their devices. Meanwhile, the industry is capitalizing on the surge in demand and trade uncertainty to boost its margins.