Looking forward to getting more business from Samsung, leaker Revignus (via Wccftech) He says in a tweet that MediaTek is offering the manufacturer special pricing. The goal is to get Samsung, whose global smartphone dynasty ended last year, to commit to MediaTek's Dimensity chips to power more low-end Galaxy phones. The reason for switching to Dimensity will be financial as it will help improve the company's profit margins.
Let's make one thing clear. Samsung just signed a multi-year supply agreement with Qualcomm, which means the best Snapdragon APs will still be in the Galaxy S Ultra and Galaxy Z foldable phones for the next few years. But MediaTek is looking to start small, getting the silicon inside more low-end phones, and perhaps moving from there to mid-range and flagship models. Most foundries are raising prices to compensate for lower demand, and Qualcomm Snapdragon chipset prices will continue to rise, leaving Samsung dealing with lower profit margins.
Rumor has it that MediaTek is offering special pricing to Samsung for its Dimensity chipsets
For now, thanks to the aforementioned supply agreement between Qualcomm and Samsung, the latter's flagship and foldable phones will use Snapdragon chips at least until the agreement expires. But if MediaTek is expanding its business with Samsung, and continues to offer the company special pricing for its chips, Samsung will have a big decision to make.
Depending on what kind of deals Qualcomm and MediaTek are offering at the time, Sammy could decide to stick with the Snapdragon 8 line, switch to Dimensity chips, or consider powering its flagship and high-end devices with one of its home-made Exynos chips.
The Exynos 2400 SoC is used to power the Galaxy S24 and Galaxy S24+ In most markets outside the US and China, there is a deca-core chip that has achieved record results that challenge the Snapdragon 8 Gen 3 AP. If Samsung continues to improve its high-end Exynos chip, it could be considered for use in high-end Samsung phones by the time the deal with Qualcomm expires.
If Revegnus is right, we should start seeing more budget Galaxy phones powered by Dimensity chips. The big question is whether MediaTek will be able to continue offering discounts deep enough to Samsung to tempt it to eventually switch to Dimensity for its more expensive smartphones. Does this mean that performance and energy efficiency don't matter? never. But we're getting closer to the time when Dimensity, Snapdragon, and even Exynos chips can compete with each other. This leaves pricing as the big difference.