Samsung’s low-end Galaxy handsets could soon be powered by MediaTek’s Dimensity chipsets, as the manufacturer is reportedly considering special pricing offered by MediaTek. This move aims to improve profit margins following the decline of Samsung’s global smartphone dominance last year.
However, it’s important to note that Samsung recently signed a multi-year supply agreement with Qualcomm, ensuring that top-of-the-line Snapdragon APs will continue to be featured in flagship models. Despite this, MediaTek is looking to gain traction by targeting lower-end handsets and potentially moving up to mid-range and flagship models in the future.
Given the rising prices of most foundries and Qualcomm Snapdragon chip prices, Samsung may face challenges in maintaining profit margins. Depending on future deals from Qualcomm and MediaTek, Samsung may have to decide whether to stick with the Snapdragon 8 line, switch to Dimensity chips, or consider powering its high-end handsets with its homemade Exynos chipsets.
Samsung currently uses the Exynos 2400 SoC for markets outside of the U.S. and China, delivering benchmark scores that rival Qualcomm’s Snapdragon 8 Gen 3 AP. As Samsung continues to enhance its Exynos chip technology, it could become a viable option for high-end handsets in the future.
If these rumors are accurate, we can expect budget Galaxy phones powered by Dimensity chips soon. The big question remains whether MediaTek can continue offering competitive discounts to entice Samsung into making a switch for its pricier smartphones. While performance and power efficiency still matter, we’re heading towards a time when Dimensity, Snapdragon, and even Exynos chips can compete on an equal footing. Pricing will be the key differentiator in this highly competitive landscape.