Samsung’s Profit Surges After AI Boom Reverses Chip Losses
Apr 30, 2024 - bloomberg.com
Samsung Electronics Co. exceeded analyst earnings estimates due to its semiconductor division returning to profitability, driven by increased spending on artificial intelligence services by companies such as Microsoft Corp. and Alphabet Inc. The company, which is the world's largest memory chipmaker, reported a net income of 6.62 trillion won ($4.8 billion) in the March quarter, surpassing the average analyst projection of 5.63 trillion won.
This income is more than four times the company's earnings from the same period a year earlier. The surge in earnings is largely attributed to the increased demand for artificial intelligence services, which has led to a significant boost in the profitability of Samsung's semiconductor division.
