Samsung Semiconductor reached out to us and shared an update on the memory shortage situation. The statement reads:

“Recent reports that Samsung’s DS division has rejected certain customer requests are baseless and not true. We are in close communication with global customers to address industry needs.”

December 1 

Turns out that everything isn’t fine inside Samsung. A new report sheds light on an internal war, alleging that the Samsung chip team (DS Division) has refused Galaxy’s (MX Division) request, putting Galaxy S26 at risk.

Samsung will launch the Galaxy S26 series early next year, but the MX Division has reportedly failed in securing a long-term deal with the DS Division on memory chip.

Sources citing SEDaily claim that Samsung’s DS Division has recently rejected the MX Division’s request for a long-term contract of DRAM for a year or more. The Division is only entertaining contracts on a quarterly basis at its best.

The report also suggests that there were high executive level discussions between the MX and DS divisions. However, the Mobile Team has just managed to secure DRAMs for the fourth quarter of the year, ending on December 31.

DS Division falls under Samsung Elec’s umbrella, but the business is reportedly sidelining DRAM and NAND contracts. The present focus is aimed at securing orders for beneficial products like HBM for AI data centers.

Galaxy S26 series will use DRAMs from Samsung Electronics and Micron. The supply will be split between the two firms, while the exact proportion is currently unknown.

Earlier this year, the price of Samsung’s 12GB LPDDR5X RAM was around $33. The prices have been skyrocketed in the past few months, with the same DRAM now costing around $70.

Seeing a potential spike, MX Division tried to score a long-term deal with DS Division. At this stage, the chip team is prioritizing its growth opportunity, but it has led the mobile business to face a chipflation and profit decline.

There’s a simple logic: MX is concerned about increasing DRAM and NAND costs. At the same time, DS isn’t bowing down, even for its sister division, as it aims to secure growth and revenue, benefiting from the memory super cycle.

The post [Update: Statement] Samsung chip team’s rejection put Galaxy S26 at risk appeared first on Sammy Fans.