EXPLORINEER
en

Archive — CN — technode

Samsung MX reportedly considers Chinese DRAM for low-end phones in China

Samsung Electronics’ Mobile eXperience (MX) division may begin using Chinese-made DRAM for low and mid-range smartphones in China to reduce costs amid rising component prices and to enhance its market position, where it currently holds only 0.6% share.

Key points

  • Samsung MX is considering switching to Chinese DRAM to cut costs.
  • The shift is influenced by rising component prices impacting margins.
  • The move aims to enhance Samsung's competitive position in China's smartphone market.
  • Samsung's market share in China has dropped significantly to 0.6%.
  • Details on potential Chinese suppliers or final procurement decisions are still unclear.

Why it matters

  • This decision reflects ongoing trends of cost-cutting in smartphone manufacturing.
  • It connects to a broader trend of supply chain diversification and regional sourcing.
  • Rising component costs have been a significant issue across the tech industry.
  • Samsung's move may impact its competitiveness amid a broader decline in the market.

This strategic consideration could help Samsung regain competitiveness in China's tough market while navigating cost challenges amid increasing pressures on margins.