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Samsung’s justification for the Galaxy S26 price increase is a sign of things to come

Every year Samsung raises the bar when it comes to specs. This year, something else was increased instead – the price. The Galaxy S26 series launched this week and all three models now start with 256GB of storage as a base. On paper, that sounds like a win. In practice the pricing looks different.

The Galaxy S26 starts at $899 for 256GB, compared to $859.99 for the 256GB Galaxy S25 – but the more telling number is that the base 128GB version of the S25 cost $799, meaning the cheaper starting price is now simply gone.

Revised introductory price for the Galaxy S26

The S26 Plus costs $1,099 for 256GB, versus $999 for the S25 Plus. The Ultra comes in at $1,299, exactly the same price as last year – the only clear win in an otherwise uncomfortable lineup.

Won-Joon Choi, COO of Samsung’s mobile business, told The Verge that memory shortages alone were a “significant contributor” to the price increase, with tariffs being a secondary concern.nIt’s worth noting that Samsung makes its own memory. If they couldn’t bear the cost, no one can.

AI data centers are consuming the world’s storage supply faster than consumer electronics can compete for it. Samsung, SK Hynix and Micron are all shifting capacity to high-bandwidth storage for AI servers – better margins, bigger contracts.

RAMageddon affects the entire industry

What’s left for phones, laptops and other consumer products is getting smaller and more expensive. IDC predicts a 13% decline in global smartphone shipments in 2026 (via Bloomberg) — potentially worse than the pandemic decline.

PC manufacturers such as Lenovo, Dell and ASUS have announced price increases of 15-20%.

Storage costs are not expected to stabilize until mid-2027. Until then, every new device carries this weight – in terms of sticker price, frozen specs, or both. Samsung just showed us what this looks like in practice. The rest of the industry is next.

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