AI data centre demand lifts Samsung operating profit to record £61bn
Samsung Electronics expects its quarterly operating profit to rise ninefold year on year, as demand for memory chips used in AI data centres drives a fourth consecutive record result. The forecast highlights how the expansion of AI is boosting chipmakers, while Samsung’s results matter to a global semiconductor market facing strong demand and supply constraints.
For the three months to the end of September, Samsung estimates operating profit of 107.4 trillion won, equivalent to about £61bn or $80bn. The company is one of the world’s largest memory chip producers, alongside South Korea’s SK Hynix and US-based Micron; its latest foldable phones, launched in August, may also contribute. Full third-quarter results are due at the end of October.
- Samsung forecasts quarterly profit of 107.4tn won.
- AI data centre demand is driving memory chip sales.
- The estimate would mark a fourth straight record quarter.
New here? Start with this
Samsung Electronics is a South Korean technology giant that manufactures a range of products, from consumer goods like televisions and phones to computer components. One of its major business divisions produces memory chips, the electronic components that store data in computers, phones and servers.
In recent years, demand for memory chips has increased significantly because of artificial intelligence. Companies building data centres to run AI systems require large quantities of memory chips, and this has created substantial demand for Samsung's products. Samsung is one of three major players in this market, alongside South Korea's SK Hynix and America's Micron.
Samsung's performance influences the broader technology sector, particularly the semiconductor market. When major chip producers sell significant volumes at strong prices, it indicates both robust demand and limited supply. These market conditions can affect everything from smartphone pricing to how quickly AI systems can be deployed globally.
Read the full article at the source →
Originally published by BBC Technology as “AI chip boom pushes Samsung profits to record $80bn”.