Memory chip prices are continuing to rise in the third quarter, though the rate of increase is narrowing sequentially. The ongoing surge in memory prices is pushing up retail costs for consumer electronics, which in turn is dampening demand.
On July 3rd, reports emerged that Samsung Electronics Co., Ltd. intends to raise the average selling price for its DRAM (Dynamic Random Access Memory) in the third quarter of this year by approximately 20% compared to the previous quarter.
"This is true," stated a senior executive at a consumer electronics device manufacturer, who confirmed that Samsung had engaged in discussions with them back in June and that they have now received a verbal notification from the company regarding the planned DRAM price increase.
"Significant price hikes for upstream components will be passed on to the final retail price of finished devices. This will curb some market demand. However, given that overall consumer electronics prices are not particularly high at the moment, even with the increase, it is not expected to significantly impact consumer purchasing decisions," the executive added.
Another industry veteran also confirmed to reporters that the news of Samsung's planned 20% DRAM price hike for the third quarter is accurate, and that Samsung has already verbally notified some of its customers about the new pricing.
As of the time of reporting, Samsung has not issued an official formal response regarding the third-quarter DRAM price increase.
The latest memory price survey from TrendForce indicates that DRAM supply will remain tight in the third quarter of 2026. However, due to weaker demand in consumer applications and a high comparison base, the increase in contract prices is expected to narrow, projected to rise by 13% to 18% compared to the second quarter. For NAND Flash, the primary demand drivers remain AI inference and large-scale data center construction. Yet, with contract prices already at historical highs, consumer-side clients facing a demand slowdown have reached their price tolerance limits. Contract prices for NAND Flash are forecast to increase by 10% to 15% quarter-on-quarter, a rate that is also significantly narrower than in previous quarters.
Data from another research firm, Sigmaintell, shows that the contract price for LPDDR5X (8GB) in the third quarter is expected to increase by about 20% sequentially. The persistent rise in memory prices is certain to drive up retail prices for consumer electronics, further suppressing demand. For instance, smartphone shipments this year are forecast to decline by approximately 11% year-on-year, with the decline expected to widen in the second half of the year.
On the trading day, shares of Samsung Electronics Co., Ltd. rose by 8.22% to 309,500 won per share. Another leading South Korean memory firm, SK Hynix Inc., saw its shares surge by 10.88% to 2,425,000 won. Japanese memory company Kioxia Holdings Corporation also gained, rising 9.23% to 83,300 yen per share.
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