Samsung is reportedly preparing to increase its conventional DRAM production by up to 15% before the end of the year as demand for memory chips continues to rise. The move is expected to help major customers, including Apple, manage increasing memory costs amid ongoing supply challenges.
The production increase comes as global prices for smartphones, tablets, and laptops continue to climb due to memory shortages. Apple has been particularly affected because current U.S. restrictions prevent it from sourcing mobile memory chips from certain Chinese suppliers. Reports also suggest that Apple is seeking a middle ground with U.S. authorities that would allow it to source DRAM from the Chinese company CXMT.
DRAM plays a critical role in modern smartphones by enabling apps to run smoothly, supporting multitasking, and powering intelligent features. Growing demand for AI-enabled devices has significantly increased the need for memory chips, pushing DRAM prices up by more than 80% this year.
Instead of building a new factory, Samsung is focusing on improving the efficiency of its existing facilities. The company plans to consolidate its manufacturing operations at its Hwaseong complex in South Korea and establish an end fab, where chips are completed. By carrying out more production processes at a single location, Samsung aims to speed up wafer manufacturing, improve efficiency, and increase DRAM output by 15%.
The higher production could benefit not only Apple and Samsung’s smartphone business but also other companies that rely on DRAM. A larger supply of memory chips may help slow further price increases across the industry.
However, Samsung has not officially confirmed these plans. Until the company makes an announcement, the reported production expansion remains unconfirmed.
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