Key Points
- Samsung projects a 15-fold increase in second-quarter operating profits.
- The surge is attributed to rising demand for AI-related semiconductors.
Samsung Electronics has stunned markets with a projected 15-fold increase in second-quarter operating profits, driven by the surging demand for AI-related semiconductors. The tech giant estimates operating profits of 10.4 trillion won ($7.54 billion), far exceeding analyst expectations. This remarkable turnaround is attributed to rebounding memory chip prices, fueled by the artificial intelligence boom. Samsung’s strategic focus on high-bandwidth memory chips for AI applications is paying dividends, although it faces stiff competition from rival SK Hynix. As the company prepares to release detailed earnings on July 31, investors are keenly watching for insights into the sustainability of this AI-driven recovery. With the global tech industry pivoting towards AI, Samsung’s performance signals a potential sea change in the semiconductor market landscape.