Samsung increases production of affordable smartphones amid memory crisis

Amid the ongoing global memory component crisis and general economic shifts, tech giant Samsung is adjusting its production strategy. According to the Maeil Business Newspaper, citing company planning documents, the South Korean corporation aims to prioritize affordable and mid-range mobile devices over high-priced flagships. This move is intended to maintain the brand's global market position and strengthen competitiveness. This is reported by reported by.

According to the company's production plans for the period from August to November of this year, a total of 58 million phones and tablets are expected to be produced. Of these, 33.7 million units will be Galaxy A series mid-to-low-range smartphones. This figure accounts for nearly 58 percent of Samsung's total production volume, and if only smartphones are considered, their share is even higher.

Reasons for the focus on budget models

The majority of production volume is allocated to the most affordable and popular devices. Specifically, more than half of the planned Galaxy A series, or exactly 18 million units, will consist of just two models — the Galaxy A17 and the upcoming Galaxy A18. These two models alone account for 53 percent of the entire Galaxy A series production volume.

This decision is notable for running counter to general market trends. Today, most competitors are choosing to reduce their budget device lineups, increase profit margins, and focus on more expensive models. Samsung, however, has prioritized a strategy of maintaining and expanding its global market share rather than seeking short-term high profits.

Global market and analytical data

According to quarterly reports from the research firm Counterpoint, Samsung's budget smartphones consistently rank among the top ten best-selling devices in the world. Often, multiple affordable models from the Korean manufacturer appear on this list, confirming the company's strong position in the lower segment.

Experts believe that in the face of fluctuating memory chip prices and consumer trends toward frugality, this approach may prove effective. By leveraging its massive production capacity and logistics capabilities, Samsung continues to offer quality technology to consumers at an affordable price. This allows the company to retain its customer base even as the competitive environment intensifies.