Samsung is reportedly all set to announce the Galaxy S25 series in January of next year. Leaks surrounding the lineup have mentioned that it could be more expensive than its predecessor, at least for the Ultra model. Another report also suggests a possible price increase for the Galaxy S25 series, albeit for a different reason.
New source mentions a potential price increase for the Galaxy S25 series
According to Korean outlets, the current political context in the country could lead to a price increase for the Galaxy S25, Galaxy S25 Plus, and Galaxy S25 Ultra. While the report focuses on Korea, a price increase in the company’s home country could carry over to international markets as well.
The current political situation in South Korea following the “emergency martial law” declared by President Yoon Suk-yeol is negatively impacting the local economy. The complex context has led to a significant devaluation of the Korean currency against the US dollar, decreasing people’s purchasing power and increasing the prices of many products. Local companies that negotiate with international firms using the US dollar have also been impacted.
Snapdragon hardware price and Korean political context are the main factors
Everything already pointed to the Galaxy S25 series being a bit more expensive than its predecessor. Due to Samsung Foundry’s low yield rate issues, the company was unable to implement the Exynos 2500 chip in the lineup. So, Samsung will have to resort to the expensive—but powerful—Snapdragon 8 Elite chip. According to industry insiders, Qualcomm increased the cost of the chipset by 30% compared to that of the Snapdragon 8 Gen 3.
The price of Qualcomm’s flagship mobile SoC is based on two main factors. First is the jump to a more modern and efficient TSMC’s 3nm manufacturing process. Then there’s the integration of the Oryon custom cores that the company first launched in its laptop chips. The Korean political situation is now another factor that could lead to more expensive next-gen Galaxy flagship phones.
Samsung had already planned to use the Snapdragon 8 Elite chip in the Galaxy S25 Ultra worldwide. The company adopted that strategy to make its “Ultra” phones more attractive. However, Samsung will now have to implement the chip in the vanilla and Plus variants as well. Analysts estimate that using its own chips would cost Samsung around $100 per unit. Meanwhile, the Snapdragon 8 Elite’s price of around $200 significantly reduces profit margins.