In an earnings call, Samsung recently stated that it would adjust pricing to further finance its new fab in South Korea. This is to further meet demands from its customers to further produce more supply. That said, the price increase may lead to increased cost in GPU and SoCs (system-on-chip) pricing.
In the earnings call, Ben Suh, SVP of Invest Relations for Samsung stated that they will accelerate growth by expanding the S5 line in Pyeongtaek and this will be done by adjusting pricing.
The impact on end products remains to be seen. Samsung currently supplies NVIDIA with their Ampere GPUs used in RTX 30 graphics cards and Samsung’s own SoCs and many others used by other companies. As most of their large contracts are already pre-negotiated, Samsung cannot increase cost immediately but past that, they can ask for the cost upfront for succeeding orders and customers can potentially forward this cost to end-users.
