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Samsung Reports Record $80 Billion Profit Amid AI Chip Boom
Confirmed
In Short: Samsung announced record quarterly profits of $80 billion, driven by the global surge in demand for AI chips.
Samsung announced record quarterly profits of $80 billion, driven by the global surge in demand for AI chips, marking its fourth consecutive quarter of record earnings.
The tech giant's operating profit for the three months to the end of September is estimated to jump to 107.4 trillion won (£61bn; $80bn), according to a report by the BBC.
The surge in demand for semiconductors, which power AI development, has resulted in a global shortage, pushing up sales for firms like Samsung.
In June, South Korea unveiled plans for at least $880 billion in projects led by Samsung and SK Hynix to build out the country's chip manufacturing capabilities.
Samsung and SK Hynix have already committed their own money to this cycle, backing a roughly $576 billion domestic AI-chip investment plan unveiled in late June, according to Business Standard, alongside a $258.4 billion southwest semiconductor buildout reported by BigGo Finance.
The latest folding devices launched by Samsung in August, such as the Galaxy Fold and S26 smartphones, are also contributing to the company's profits.
The key upgrade this year is the Galaxy Tab S12 Ultra's faster MediaTek Dimensity 9500 chip, which Samsung says offers 61% faster NPU processing, 19% faster CPU performance, and 17% more GPU power than the MediaTek 9400+ in the Tab S11 Ultra.
Samsung recently raised prices across its Galaxy S26 smartphone lineup, a move attributed to the ongoing memory shortage.
The company's union reported that workers at rival chipmaker SK Hynix received bonuses more than three times larger than those paid by Samsung last year, leading to a mixed response in online discussions.
Samsung's record profits come as SK Hynix shares have risen more than 340 percent this year alone, outperforming Samsung's 200 percent jump.
Workers are threatening an 18-day strike later this month, demanding a bigger slice of the AI-driven profits.
The new Galaxy S27 Ultra leak suggests Samsung could build on its tools without raising the headline recording resolution, and the company has overhauled its image pipeline to produce warmer, more natural-looking colors.
What this adds
The surge in demand for AI chips has pushed up Samsung's profits, but the company faces challenges such as worker demands and competition from Chinese chipmakers.
What's confirmed
- Samsung announced record quarterly profits of $80 billion, driven by the global surge in demand for AI chips, marking its fourth consecutive quarter of record earnings.
- The tech giant's operating profit for the three months to the end of September is estimated to jump to 107.4 trillion won (£61bn; $80bn), according to a report by the BBC.
- The surge in demand for semiconductors, which power AI development, has resulted in a global shortage, pushing up sales for firms like Samsung.
- In June, South Korea unveiled plans for at least $880 billion in projects led by Samsung and SK Hynix to build out the country's chip manufacturing capabilities.
- Samsung and SK Hynix have already committed their own money to this cycle, backing a roughly $576 billion domestic AI-chip investment plan unveiled in late June, according to Business Standard, alongside a $258.4 billion southwest semiconductor buildout reported by BigGo Finance.
- The latest folding devices launched by Samsung in August, such as the Galaxy Fold and S26 smartphones, are also contributing to the company's profits.
- The key upgrade this year is the Galaxy Tab S12 Ultra's faster MediaTek Dimensity 9500 chip, which Samsung says offers 61% faster NPU processing, 19% faster CPU performance, and 17% more GPU power than the MediaTek 9400+ in the Tab S11 Ultra.
- Samsung recently raised prices across its Galaxy S26 smartphone lineup, a move attributed to the ongoing memory shortage.
- The company's union reported that workers at rival chipmaker SK Hynix received bonuses more than three times larger than those paid by Samsung last year, leading to a mixed response in online discussions.
- Samsung's record profits come as SK Hynix shares have risen more than 340 percent this year alone, outperforming Samsung's 200 percent jump.
- Workers are threatening an 18-day strike later this month, demanding a bigger slice of the AI-driven profits.
- The new Galaxy S27 Ultra leak suggests Samsung could build on its tools without raising the headline recording resolution, and the company has overhauled its image pipeline to produce warmer, more natural-looking colors.
What's still developing
- Demand is surging while supply struggles to keep up, pushing prices higher and boosting Samsung’s profits.
- The Apple iPhone 18 Pro outmuscles the Samsung Galaxy S26 in raw camera prowess and silicon performance, but Samsung’s entry-level flagship claims the undeniable crown for overall value.
- Samsung, conversely, delivers a remarkably balanced everyday powerhouse at a nearly $300 discount, making it the smarter buy for mainstream consumers.
- Samsung hasn’t announced the change, but we all know its because of the chip shortage thanks to AI.
- Samsung implemented the changes across its S26 portfolio just weeks after Apple introduced a pricier iPhone 18 Pro line and increased the cost of older models such as the iPhone 17 and iPhone Air.
- Meanwhile, an exclusive Reuters report said Samsung Electronics plans to invest 39 trillion dong ($1.5 billion) to build its first semiconductor testing plant in Vietnam.
- Along with the Galaxy Tab S12 series, Samsung has also revealed its Galaxy SmartTag 3 Bluetooth tracking device ($30 for one and $100 for a four-pack).
- It is rare we see one, never mind several, flagship phones drop to record-low prices, but here we have two of the best with as much as 25% knocked off the asking price.
- Google Pixel 11 Pro XL (Unlocked) – 512 GB, Canyon Google Pixel 11 Pro XL – Unlocked Smartphone, Gemini – 256 GB – Olive Samsung Galaxy Z Fold8 Ultra Unlocked Android Smartphone, 256GB Graphite Shaun is the editor of SPCR and a contributor to PCGuide.