"Buds 3 Are 1.5 Times More Expensive" ... Chipflation Lifts Prices in the Used Market

The used phone market is benefiting from the chipflation driven by surging demand for Artificial Intelligence (AI) semiconductors, which has pushed up prices for new Information Technology (IT) products. More consumers are turning to the used market, where they can buy older models at lower prices without sacrificing much in performance.
According to industry sources on the 26th, Samsung Electronics recently began selling used versions of the Samsung Galaxy Z Fold 7 and Samsung Galaxy Z Flip 7 in the U.S. through its certified used phone program. The certified devices are Samsung Electronics' highest-grade used phones, which have been quality-checked and are sold at prices about 15% to 30% below new models.
The certified used Samsung Galaxy Z Fold 7 with 256GB of storage is priced at $1,699, or about 2.51 million won, roughly $300 less than its launch price of $1,999.99. The 512GB model, at $1,749, and the 1TB model, at $1,879, are also being sold below their original retail prices.
For the Samsung Galaxy Z Flip 7, the 256GB model is being sold for $939, about $160 less than its launch price of $1,099.99. The 512GB version is priced at $989.
As memory semiconductor shortages put upward pressure not only on new products but also on older models, demand for relatively affordable used devices is rising, analysts said.
Samsung Electronics recently raised prices for some Samsung Galaxy Z Fold 7 and Samsung Galaxy Z Flip 7 models in South Korea and overseas. The 512GB Samsung Galaxy Z Fold 7 rose by 94,600 won, from 2,537,700 won to 2,632,300 won, while the 1TB model jumped by 193,600 won, from 2,933,700 won to 3,127,300 won. The 512GB Samsung Galaxy Z Flip 7 also increased by $80, from $1,220 to $1,300.
In the U.S., the price of the Samsung Galaxy Z Fold 7 with 512GB of storage also rose from $2,120 to $2,200, while the 1TB model increased from $2,420 to $2,500. The Samsung Galaxy Z Flip 7 with 512GB is now priced at $1,300, up $70 from $1,220.
According to International Data Corporation (IDC), global shipments of used smartphones rose 3.2% last year from a year earlier. That outpaced the 1% growth in shipments of new smartphones over the same period. Used smartphone shipments are expected to grow 5.8% this year.
On online resale platforms such as Karrot Market and Joonggonara, prices for some older IT devices are also climbing. For the Samsung Galaxy Buds 3, which were released in July 2024, unopened standard models were selling for 80,000 to 90,000 won last year, but they are now trading at around 120,000 to 130,000 won.
Unlike the usual pattern in which prices fall as products get older, the increase appears to reflect higher prices for new models. The Galaxy Buds 4 series, released in March this year, was priced at 359,000 won for the Pro model and 259,000 won for the standard model, each up 40,000 won from the previous generation.
mkchang@fnnews.com Jang Min-kwon Reporter