The next iPhone will have a massive advantage over Galaxy phones: cost
12/02/2024
2 min read
The days of Apple devices being called overpriced and underpowered seem to be behind us now, at least when it comes to flagship smartphones. Samsung — arguably Apple’s biggest rival in the smartphone industry — may be forced to increase the prices of its smartphones once again in 2026.
The Galaxy S24 Ultra already starts at a higher price tag ($1,299.99) than the iPhone 16 Pro Max ($1,199.99). And rumors suggest that the Galaxy S25 phones coming out early next year will see price bumps too. The S25 Ultra is expected to jump up another $100, making it an extra $200 for 2025’s Android flagship of choice in the U.S.
But reports are coming in that Qualcomm is planning to significantly hike the price of the Snapdragon 8 Elite Gen 2. If Samsung continues to plan to use Snapdragon processors in its phones — it really has no choice at the moment — then the next Galaxy phones will likely reflect this price hike.
Image credit — PhoneArena
Samsung has abandoned Exynos for the entire S25 lineup according to previous reports. This is because Samsung Foundry — which recently closed a plant before it could even open — has been having issues with yield. Yield results at Samsung Foundry have been as bad as 10 percent, making it completely unviable for business. There are even reports that Samsung might resort to having TSMC manufacture its Exynos chips.And that is something the company may just have to do if it doesn’t want to scare away customers with a significantly higher price tag. Apple managed to keep its phones the same price this year as their predecessors, partly because of Apple silicon. Samsung may need to seriously consider adopting Apple’s philosophy of designing its chips but letting TSMC manufacture them.
If Samsung is unable to move away from Snapdragon before the Galaxy S26 phones then it may have to negotiate cost reductions from domestic component manufacturers. Not doing so leaves only one choice: making the Galaxy phones even more expensive than the iPhone.
And that is a surefire way to turn more people towards America’s most used smartphone.
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