Samsung's profits plummet, Nvidia-related woes continue
Briefly

Samsung Electronics is facing a significant decline in profits, falling 39 percent this quarter due to weak demand for memory used in AI chips. The delay in certification of its HBM3E 12-layer chips by Nvidia poses challenges in maintaining its competitive edge in high-bandwidth memory. Operating profit for the April-June period is expected to be the lowest in six quarters at 6.3 trillion won. In contrast, competitors like SK Hynix and Micron are benefiting from high demand, while Samsung's dependence on the Chinese market adds to its challenges.
Samsung's profits fell by 39 percent this quarter due to weak demand for AI chip memory, deepening investor concerns about its competitive position in the HBM market.
Operating profit for April-June is expected to come in at 6.3 trillion won ($5.7 billion), the lowest level in six quarters, highlighting the pressure on Samsung's financial performance.
Samsung has not shipped HBM3E 12-layer chips to Nvidia yet, and analyst Ryu Young-ho states that shipments to Nvidia will be insignificant this year.
Samsung began deliveries to competitor AMD in June, which may help mitigate the revenue loss from delayed shipments to Nvidia.
Read at Techzine Global
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