Samsung sells memory at five times below market price

Samsung sells memory at five times below market price

South Korean tech giant Samsung has secured a significant portion of its memory chip production capacity through long-term contracts. According to SeDaily, the company has pre-booked 70% of its factory capacity for future years, with agreements extending until 2031. While this strategic move allows Samsung to plan future supplies precisely, it also opens a path for major customers to purchase raw materials at significantly lower prices. This is reported by Ixbt.com reports .

Long-term contracts and significant price differences

According to sources, the prices offered under these long-term contracts are surprisingly lower than current market values. Specifically, it has been revealed that the deal prices are five times cheaper than spot market prices. These figures likely align with pre-crisis levels, which has surprised some experts.

Based on data from MegaGridSupplies, a 36 GB HBM3E memory stack costs approximately 2,100 USD on the open market. However, under long-term contracts with Samsung, the price for the same product is estimated at only 365–510 USD. Such a massive price discrepancy is causing intense discussion in the high-tech market.

Key partners and prospects

It appears that leading global IT corporations have already taken advantage of these preferential long-term contracts offered by Samsung. Specifically, the following major companies are listed as key clients for these agreements:

Experts believe that while such large-scale agreements ensure market stability for Samsung, they allow companies like Microsoft, Google, and NVIDIA to obtain the memory modules necessary for AI and high-performance computing systems at stable and affordable prices. This is expected to have a positive impact on the pace of technological development in the global market.

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