Photo by Vishnu Mohanan on Unsplash
Samsung's mobile division is reportedly telling suppliers to cut phone production by 20 to 30 percent in the fourth quarter of 2026, according to SamMobile. The reason isn't weak demand -- it's the memory chip crisis finally hitting the one company that also makes the chips.
Why Samsung Is Building Fewer Phones
Samsung had reportedly planned to build around 270 million phones in 2026, but industry reports now suggest that number could slide toward the low 200-million range. Android Authority notes that DRAM costs have climbed roughly 175 percent year over year, largely because AI data centers are soaking up the world's memory chip supply. The irony is that Samsung itself is one of the biggest beneficiaries of that same memory boom through its chip business, even as its phone division reportedly posted a quarterly loss for the first time earlier this year.
What a Production Cut Means for Phone Buyers in India
Fewer phones built globally usually means thinner allocations for individual markets, including India. Beebom points out that Samsung's phones are currently generating close to zero profit at current component costs, which gives the company little room to absorb further memory price hikes without passing them on. For buyers browsing our mobile phones collection, that's a signal that waiting for a better deal later this year carries real risk -- the better deal may already be behind us.
It's Not Just Phones -- Laptops Face the Same Squeeze
The memory shortage driving Samsung's decision isn't limited to smartphones. The same DRAM and NAND cost pressure has been pushing up laptop prices through 2026, which is exactly why fixed-configuration refurbished and unboxed laptops have held their value better than new ones. Shoppers comparing our unboxed laptops and used laptops collections are effectively buying ahead of the same supply squeeze that's now forcing Samsung's hand on phones.
The Smarter Way to Buy Right Now
If a 20-30 percent production cut at one of the world's largest phone makers is any indication, prices are more likely to firm up than soften in the coming months. A few practical steps for anyone shopping now:
- Buy unboxed phones while current pricing holds -- these are brand-new, sealed units with a 6-month warranty, not used devices.
- Consider refurbished laptops graded Good or Fair if a brand-new unit isn't essential -- configurations run 256GB or 512GB SSD with 8GB or 16GB RAM, backed by a 6-month warranty.
- Remember shipping is free above Rs 5,000, with 1-2 business days of processing and 7-10 business days of delivery, so there's no rush-order premium to worry about.
- Keep the buyback program in mind as a safety net -- it returns 80 percent of your purchase price within 15 days if your plans change.
Frequently Asked Questions
Why is Samsung cutting phone production in 2026?
Samsung is reportedly reducing output by 20 to 30 percent in the fourth quarter of 2026 because surging DRAM and NAND memory prices, driven largely by AI chip demand, have squeezed profit margins on its phones to almost nothing.
Will this make Samsung phones more expensive in India?
Lower production generally means tighter supply, and when supply tightens while demand stays steady, retail prices and festive-season discounts tend to move against buyers rather than in their favour.
Are unboxed or refurbished phones a safer bet right now?
Yes. Unboxed phones are brand-new units sold outside official retail channels with a 6-month warranty, and buying now locks in current pricing before production cuts work their way through the market.
Is the RAM shortage affecting laptops too?
Yes. The same memory crisis pushing up phone costs has been raising laptop component prices through 2026, which is why unboxed and refurbished laptops with fixed 256GB or 512GB SSD and 8GB or 16GB RAM configurations have become a popular way to dodge the fluctuation.
What happens if a phone or laptop arrives damaged?
Get Like New does not offer change-of-mind returns, but transit damage is covered under the defect remedy policy as long as you record an unboxing video, and a buyback program offers 80 percent of the purchase price back within 15 days if you decide the device isn't for you.
