Earlier this week, Samsung unveiled the UFS 5.0 storage solution with faster transfer speeds, but many from the Samsung community have been speculating that this could be coming with the Galaxy S27 Ultra. However, two reasons may force the company to stick to an old UFS storage type. Two reasons for Samsung to skip UFS 5.0 for Galaxy S27 Ultra.

Looming Net Loss

For those who are wondering, Samsung has been using the UFS 4.0 for the past few years, and the most recent S26 Ultra also comes with this storage type. It has maintained faster file transfers with the software and chipset optimizations.

This decision is purely based on the build cost, which already increased two years ago, and the Ultra model now starts at $1,299 of the 256GB storage. Additionally, Ultra’s younger siblings also saw a price hike over the past two years.

Meanwhile, the Galaxy S26 Ultra has sold more units than the last generation, but couldn’t offset the looming threat of loss. The mobile business head, TM Roh, warned in April that the MX division is moving toward the first net loss in the company’s history. That’s due to the bill of materials increasing due to RAM prices.

Despite producing DRAM, Samsung cannot access RAM at lower prices for its smartphones. The reason for that is that the MX, which operates for smartphones and consumer devices, is different from the DS division, which makes semiconductors, including the RAM and storage.

Over the past 6 months, RAM prices have skyrocketed across the industry due to huge consumption by AI companies. Basically, Samsung is buying RAM at higher prices, and this component will go even higher at the time of the S27 Ultra release.

So, Samsung already has a burden to bear from the memory chip, and UFS 5.0 will cost more than the existing chip. So, adding this new version will add more weight to the bill of materials. That will push the final price more than what’s expected.

Business first

Samsung as a group has different divisions, and their job is to sell products that are not limited to its own devices. Therefore, the UFS 5.0 storage launch is an advertisement for all of the Android smartphone companies.

Interestingly, Samsung uses old technologies in its Galaxy smartphones and sells the latest to its customers. You may have seen that Chinese phones are using the newest display technologies first, while Samsung is reiterating old tech for years.

This is one perspective of seeing things from above. However, each division has a responsibility to increase profits from its products independently. In that case, they prioritize the customer who pays the price.

Therefore, not every announcement about new products means that they’re coming first with the latest Galaxy smartphones.

Conclusion

Nothing is set; we’re more than 6 months away from the Galaxy 27 series launch, and in that time, anything could happen. However, the memory prices are expected to hike even further, and Samsung ain’t escaping this problem without increasing the prices of its next-gen products. Subsequently, it may not include the UFS 5.0 with the next generation of S-series.

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