Samsung reportedly cuts Galaxy A production as component costs rise

Samsung is cutting Galaxy A smartphone production by approximately 20% to redirect resources toward flagship devices, 9to5Google reports, citing ETNews. The reduction represents roughly 10 million units annually, and Samsung plans to cut Galaxy A production by more than 10% next year as well. Higher memory and chipset costs now account for around half of mid-range devices' production costs. Fourth-quarter component orders have fallen by about 20% from the plan set at the beginning of the year. The shift favors pricier phones that are more likely to generate a profit under current market conditions.