Samsung and LG hiked laptop prices twice in three months, with some models up by nearly 50% from last year. This is due to a severe memory chip shortage as manufacturers prioritize high-bandwidth memory for AI over general-purpose chips.

Samsung Electronics and LG Electronics raised laptop prices twice within a three-month period as a severe shortage of memory chips continues to impact the consumer electronics market. This price adjustment pushed the cost of certain models up by nearly 50 per cent compared to the previous year, according to a report by The Korea Herald.

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Laptop Prices Surge by up to 50%

The flagship Galaxy Book 6 Pro from Samsung, featuring 32GB RAM and a 1TB SSD, now carries a retail price of 4.19 million won (USD 2,847) in South Korea. This represents a significant jump from a comparable model sold for 2.81 million won (USD 1,914) last year.

Samsung established January launch prices for the new generation well above earlier levels before implementing a second increase this month of up to 900,000 won (USD 613). The high-end Galaxy Book 6 Ultra now starts at 5.53 million won (USD 3,767).

LG Electronics adopted a similar pricing strategy for its notebook lineup. The 2026 Gram Pro 16-inch model launched in January at 3.14 million won (USD 2,139), which was approximately 500,000 won (USD 341) higher than its predecessor. By April, the price rose by another 400,000 won to reach 3.54 million won (USD 2,411).

Component Shortage and Market Outlook

"This is future demand being pulled forward," the report quoted an industry official. "Once prices cross psychological thresholds in the second half, we are likely to see spending contract across both private and public sectors," the official added.

Underlying Component Costs

Citing Counterpoint Research, the report noted that broad memory prices jumped between 80 and 90 percent on a quarter-on-quarter basis in early 2026. "Underlying component prices explain why. Omdia data shows 16GB DDR5 module prices rising from USD 72.20 in Q4 2025 to USD 119.20 in Q1 2026, with a forecast of USD 167.60 by Q4," the report said.

Impact Spreads to Smartphones

This trend is also affecting the smartphone sector. Samsung launched its Galaxy S26 series in March with price increases of roughly 100,000 won per model in domestic markets and a USD 100 increase for base and Plus variants in the United States. The company also applied retroactive price hikes to the Galaxy Z Fold7 and Flip7 foldables in April.

Citing TrendForce, the report mentioned that memory once accounted for 10 to 15 per cent of smartphone material costs, but that share surged to between 30 and 40 per cent.

AI Memory Prioritized Over Consumer Chips

Major manufacturers like Samsung, SK Hynix, and Micron, which control about 90 per cent of global DRAM production, are currently prioritizing high-bandwidth memory for artificial intelligence applications. This shift comes at the expense of general-purpose chips used in personal computers and mobile phones.

"Counterpoint estimates that closing the gap would require 12 percent annual production growth through 2027, but current plans amount to 7.5 percent. Some buyers are not waiting. Global PC shipments rose 3.2 percent year-on-year to 64.8 million units in Q1 as consumers and businesses purchased ahead of further increases," the report said. (ANI)

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