Samsung ‘concerned’ over potential mobile business losses due to memory costs

https://www.androidcentral.com/phones/samsung-galaxy/samsung-concerned-over-potential-mobile-business-losses-due-to-memory-costs

Publish Date: 2026-03-13 05:11:00

Source Domain: www.androidcentral.com

What you need to know

A report claims that Samsung is growing “concerned” over its Q1 2026 profits, as it might post an operating loss.
This could be due to the rising costs of memory and semiconductors required for its mobile devices, which has supposedly pushed Samsung to cut costs regarding executive travels.
Samsung reported that its Galaxy S26 series has been smashing pre-order records in South Korea and that pre-orders are up 25% for the series in the U.S.

There have been concerns over the smartphone market’s future in 2026 due to the rising costs of memory, and those worries continue with Samsung.

A report from Hankyung (South Korean) claims that Samsung has become “concerned” over this year’s operating profits, as it might wind up in the negative (via 9to5Google). Social media tipster Jukan highlighted the report, stating that the Korean OEM could “post its first-ever operating loss” this year, which might force it to “cut costs.” The publication cites its industry source by claiming Samsung might “struggle” due to the rising costs of memory and semiconductors.

This is a struggle that’s caused some worry across the board in the smartphone market, so this isn’t too much of a surprise to hear. It’s not clear right now just how badly Samsung is expecting to lose; however, what’s been reported is its cost-cutting measures.

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Supposedly, Samsung is looking to “drastically” cut the amount of funds available for overseas travel expenses for its top executives. The publication adds that Q1 2026 could be the worst for the company.

How bad? To be determined

(Image credit: Derrek Lee / Android Central)

We’ve been seeing the warning signs about “higher-priced phones” for a while now. Android Central even discussed why this could be the case, and why budget phones might be the hardest ones hit. It’s been estimated that memory prices will climb an additional 20% in 2026 after being expected to…

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