Samsung flags strong AI demand as second-quarter profit soars on higher chip prices

SEOUL: Samsung Electronics forecast great synthetic intelligence-driven ask for chips within the 2nd half of of this one year, because it reported a more than 15-fold upward thrust in its 2nd-quarter working profit.

“In the 2nd half of of 2024, AI servers are expected to absorb a better fragment of the (memory) market as predominant cloud service suppliers and enterprises lengthen their AI investments,” Samsung stated in an announcement.

Rebounding semiconductor costs stoked by the AI articulate lifted June quarter earnings from a low corrupt a one year within the past.

The field’s greatest maker of memory chips, smartphones and TVs stated working profit rose to 10.4 trillion won (US$7.52 billion) in April to June, up from 670 billion won a one year earlier.

That turned into once in accordance with Samsung’s earn estimate of 10.4 trillion won flagged earlier this month.

It turned into once Samsung’s very most realistic working profit for the explanation that third quarter of 2022, spurred by the chip division returning to create as the tech big’s money cow enterprise after a streak attributable to feeble submit-pandemic ask for objects that use the chips.

Earnings rose 23 per cent to 74 trillion won.