Samsung raises chip-manufacturing prices by up to 15% amid demand surge

Samsung Electronics has raised prices for certain foundry services by up to 15% for new orders as AI-related demand fills advanced production lines and tight industry supply gives customers few alternatives to Taiwan Semiconductor Manufacturing Co. Reuters reported July increases of 10% to 15% for SF4 chips for customers in China and the U.S., 5% to 10% for customers in Taiwan, 10% to 15% for SF5 wafers and nearly 10% for 8-nanometre production. Samsung's SF4 line at Pyeongtaek has been running at full capacity since late last year, and the company expects AI and high-performance computing applications to contribute more than 30% of foundry revenue this year, up from 15% to 20% in late 2025. Counterpoint said Samsung held 7% of global foundry revenue in the first quarter of 2026, versus more than 70% for TSMC, whose capacity crunch is steering more business toward Samsung from customers including Qualcomm, Tesla and Nvidia, while Alphabet is reportedly in talks over SF4 production. Lee Min-hee said further price increases could help Samsung's foundry business return to profit as early as next year. Samsung shares still fell 7.8% in Seoul as the KOSPI dropped 5.8%, reflecting broader investor concern about the durability of AI spending.

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