Samsung Raises Chipmaking Prices by Up to 15% as AI Demand Surges

Samsung Electronics has raised prices for some of its advanced contract chipmaking services by up to 15%, according to people familiar with the matter, as surging demand for artificial-intelligence chips puts increasing pressure on semiconductor manufacturing capacity.

The price increases apply to new orders for several of Samsung’s advanced manufacturing processes, including 4-nanometre, 5-nanometre and 8-nanometre technologies, according to sources cited by Reuters.

Customers in China and the United States are facing increases of roughly 10% to 15%, while customers in Taiwan are seeing smaller increases, the sources said. The identities of the customers were not disclosed because the pricing discussions are private.

The move highlights how the rapid expansion of artificial intelligence is reshaping the global semiconductor industry. Technology companies are racing to secure the chips needed for AI data centres, increasing competition for manufacturing capacity at major foundries.

Samsung’s foundry business has struggled to match the scale and profitability of Taiwan Semiconductor Manufacturing Co. (TSMC), which dominates the global contract chipmaking market. Reuters said TSMC accounted for more than 70% of global foundry revenue in the first quarter of 2026, compared with about 7% for Samsung’s foundry division.

However, capacity constraints at TSMC are creating opportunities for Samsung and other competitors as chip designers look for additional manufacturing options.

Samsung’s Pyeongtaek SF4 production line is reportedly operating at full capacity, with customers including Qualcomm. The company is also expanding its relationships with major technology firms, including Tesla, Apple, Broadcom and Nvidia, while discussions with Google over future chip production are also underway.

The pricing changes come as the semiconductor industry experiences a sharp increase in demand linked to AI infrastructure. Advanced chips are essential for the powerful processors used in data centres, AI servers and other high-performance computing systems.

Samsung has also been seeking higher prices for memory chips as AI-related demand tightens supplies. In July, reports said the company was negotiating with customers over increases of as much as 20% for some commodity DRAM products in the third quarter.

The latest foundry price increases could provide a much-needed boost to Samsung’s semiconductor business, which has remained under pressure as it competes with TSMC for lucrative advanced-chip manufacturing contracts.

Industry analysts expect the strong AI-driven demand to continue supporting semiconductor prices, although manufacturers face the challenge of expanding capacity quickly enough without creating excess supply later.

For customers, higher chipmaking costs could eventually feed through into the prices of AI hardware, servers and other technology products, depending on how much of the additional cost manufacturers pass on to consumers.

Samsung’s move therefore underlines a broader trend in the global chip industry: AI demand is increasingly giving manufacturers greater pricing power as companies compete for limited advanced semiconductor capacity.