Samsung Handing Off All DRAM to Focus on AI Memory
Samsung plans to outsource all DDR5 production to partners in India, Vietnam, and the Philippines, converting in-house lines entirely to HBM for AI.
The CMF Phone 2 Pro will not get a successor this year. Akis Evangelidis, co-founder of Nothing and CMF, confirmed the CMF Phone 3 Pro has been canceled entirely for 2026, citing the same memory cost spiral that has upended smartphone economics across the industry.
|
CMF Phone 2 Pro
Nothing | |
|---|---|
| Screen | 6.77 inches |
| Chipset | Dimensity 7300 Pro |
| RAM / Storage | 8 GB / 128 GB |
| Main Camera | 50 MP |
| Battery | 5000 mAh |
| Size / Weight | 164×78×7.8 mm · 185 g |
"We were working on a successor but with memory prices where they are right now, we can't build a phone that feels like a genuine step forward at a price that makes sense for CMF," Evangelidis said.
The cancellation is the most concrete casualty yet of the DRAM crisis that Nothing CEO @carlpei has been warning about publicly. Pei noted earlier this month that RAM now costs more than the processor and display combined in many smartphones — a reversal of the traditional bill-of-materials hierarchy that hits budget devices hardest.
CMF exists specifically to compete at the bottom of the market, where margins are razor-thin. A CMF Phone 3 Pro priced meaningfully above its predecessor would undercut the brand's reason for existing. A device that held the price but cut specs would fail to deliver the "genuine step forward" Evangelidis described as non-negotiable.
Nothing is the first manufacturer to publicly kill a planned phone over memory costs, but the pressure is universal. Samsung's mobile division warned of a potential first-ever annual loss partly driven by the same component inflation. Chinese manufacturers competing on price face even less room to absorb the hit.
The broader picture is stark. AI data center demand has consumed DRAM supply so aggressively that smartphone makers are competing for what remains at inflated prices. New fabrication capacity takes years to come online, and no relief is expected before 2027.
Evangelidis said CMF still has products launching this year, but in categories the brand has not previously entered — suggesting accessories or audio rather than another phone. The broader Nothing lineup for 2026 is also not finished, though the company has not specified what remains.
For anyone who bought or considered the CMF Phone 1 or CMF Phone 2 Pro, the message is clear: hold onto what you have. The budget smartphone segment is about to get thinner and more expensive, and Nothing is not the last brand that will have to make this call.
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