Memory prices double, increasing cost pressures on Samsung and LG
Memory prices surged by more than twofold, increasing cost pressures on electronics makers such as Samsung Electronics and LG Electronics. Samsung Electronics 2026year 1quarterly filing stated that raw-material purchases amounted to 27 trillion 8078 hundred million won.
Cost pressures across the electronics industry, including at Samsung Electronics and LG Electronics, are mounting as memory prices surge by more than twofold. The report also pointed to rising costs for key components amid slowing demand for home appliances and smartphones as the economy weakens. It said concerns were growing about declining profitability in the set business.
Samsung Electronics 1filing dated 2026year 1quarterly report. The filing stated that raw-material purchases, excluding Samsung Display, amounted to 27 trillion 8078 hundred million won. The filing date and amount are figures disclosed by the company.
The figure for the same period a year earlier was disclosed as 27 trillion 428 hundred million won. The filing gave the year-over-year increase as 2.8%. These comparative figures were included in the company's filing.
The raw material purchases of the Device eXperience (DX) division, which oversees home appliances, TVs and smartphones, amounted to 21 trillion 2527 hundred million won, accounting for 76.4% of the total, according to the disclosure. The disclosure stated that the DX division accounts for a large share of raw material purchases. DX is a division with a high proportion of finished products.
The disclosure said that mobile memory 1 was classified as a separate item starting in the quarter, as its share had grown. Purchases of mobile memory amounted to 1 trillion 9930 hundred million won, accounting for 9.4% of raw materials for the DX division. The company cited the increase in its share as the reason for listing the item separately in its disclosure.
The disclosure and industry materials state that rising memory prices affect the overall cost structure. The figures disclosed by Samsung Electronics and the separate breakdown of items by DX division reflect the company’s detailed disclosure of changes in raw material costs. The relevant figures are based on materials submitted by the company.
Sources: 파이낸셜뉴스 산업
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