Operating income for the quarter was 2.8 trillion won ($2.1 billion)—24% short of estimates—while operating revenue fell to 67 trillion won. For the entirety of 2023, the company reported its slimmest operating profit over the past 15 years.

The tech giant’s declining profits come as the demand for smartphones and memory chips continues to remain sluggish, thereby dampening hopes of a market recovery for 2024. “This shows that the rebound is slower than we all thought,” Tom Kang, research director at Counterpoint Technology Market Research said of Samsung’s performance. “Prices are not rising that fast and the demand from certain sectors is not that strong.”

The post Samsung Suffers 35% Profit Decline Amid Weak Chip Market appeared first on theprimarymarket.com.

Samsung will permit Tenstorrent to produce chips using the South Korean company’s advanced manufacturing processes, known as 4nm. The product to be manufactured under this deal is a chiplet, which will be one of several in a single package. The value of the deal and the quantity of chips to be produced remain undisclosed.

Prior to sealing this deal, Samsung invested in Tenstorrent in a fundraising round in August that saw the Canadian company raise $100 million in capital. Before that, Tenstorrent raised $234.5 million to get a $1 billion valuation.

The post Samsung Secures New AI Chip Customer appeared first on theprimarymarket.com.

Japan’s Nikkei newspaper reported that Apple, Samsung, Nvidia, and Intel are all planning to invest in Arm once it is listed on the stock market. It was previously reported that Arm was targeting Nvidia as an anchor investor, with the companies engaged in talks in July.

SoftBank has been looking to take Arm public since last year when its deal to sell the chip designer to Nvidia broke down amid objections from antitrust regulators. According to sources familiar with the matter, SoftBank could raise between $8 billion and $10 billion from the U.S. listing.

Arm is set to officially apply to the U.S. Securities and Exchange Commission later this month for its IPO listing.

The post Apple and Samsung to Invest in Arm at IPO appeared first on theprimarymarket.com.

If Samsung does choose Bing over Google, this could lead to a loss of $3 billion in annual revenue for Alphabet. While Google has historically been the market leader in the search engine space, Bing has been threatening Google’s dominance following the addition of OpenAI’s ChatGPT to provide responses to users’ queries.

Google has been working on several projects in an effort to compete with Bing and OpenAI on the artificial intelligence front. This includes a new project called Magi, which involves the addition of AI capabilities to its existing features.

According to IDC data, Samsung shipped 261 million smartphones in 2022 running Google’s Android software. In addition to its contract with Samsung, Google also has an agreement in place, which the New York Times valued at $20 billion in annual revenue.

The post Google Stocks Slide Amid Report That Samsung May Opt for Bing appeared first on theprimarymarket.com.

According to The Korea Herald, Samsung’s earnings have plummeted as much as 96% compared to the same period in 2022 and will come to around $455 million (600 billion won). It also expects sales of $47.7 billion (63 trillion won), which would mark a 19% drop.

The company believes that the lesser demand for semiconductors had the biggest impact on its profit, which is why it’s shifting its strategy while hoping to clear out its inventory to a degree.

“We’re adjusting to lower memory production to a meaningful level… in addition to optimizing line operations that are already underway,” Samsung said in a statement provided to the media outlet.

While rival chip makers SK Hynix and Micron Technology previously cut their output, Samsung resisted the urge to make the same, hoping to grab a bigger share of the market. However, the market conditions have forced the company to get on board. Analysts now predict that chip prices to get a boost due to cuts.

The post Samsung to Scale Down Memory Chip Production Amid Expected Profit Slide appeared first on theprimarymarket.com.

While the broader industry tends to cut chip production in such circumstances, Samsung is committed to pushing production at its largest semiconductor plant with a vision to meet mid to long-term demand. “We plan to stand behind our original infrastructure investment plans,” Han Jin-man, executive vice president of memory business at Samsung stated when first asked about this situation in October.

Analysts expect that Samsung’s decision to invest more in chip production will likely assist the company in expanding its market share in memory chips. The company is reportedly looking to add a 12-inch wafers capacity for DRAM memory chips at the facility.

By contrast, major rival Micron Technology Inc announced last week its plans to scale back investments in 2023 to between $7 billion and $7.5 billion from $12 billion in 2022. Taiwanese chipmaker TSMC, another close rival, has decided to reduce its budget by 10% for the coming year.

The post Samsung Eyes Chip Production Growth in 2023 appeared first on theprimarymarket.com.

Operating income for the quarter was 2.8 trillion won ($2.1 billion)—24% short of estimates—while operating revenue fell to 67 trillion won. For the entirety of 2023, the company reported its slimmest operating profit over the past 15 years.

The tech giant’s declining profits come as the demand for smartphones and memory chips continues to remain sluggish, thereby dampening hopes of a market recovery for 2024. “This shows that the rebound is slower than we all thought,” Tom Kang, research director at Counterpoint Technology Market Research said of Samsung’s performance. “Prices are not rising that fast and the demand from certain sectors is not that strong.”

The post Samsung Suffers 35% Profit Decline Amid Weak Chip Market appeared first on theprimarymarket.com.

Samsung will permit Tenstorrent to produce chips using the South Korean company’s advanced manufacturing processes, known as 4nm. The product to be manufactured under this deal is a chiplet, which will be one of several in a single package. The value of the deal and the quantity of chips to be produced remain undisclosed.

Prior to sealing this deal, Samsung invested in Tenstorrent in a fundraising round in August that saw the Canadian company raise $100 million in capital. Before that, Tenstorrent raised $234.5 million to get a $1 billion valuation.

The post Samsung Secures New AI Chip Customer appeared first on theprimarymarket.com.

Japan’s Nikkei newspaper reported that Apple, Samsung, Nvidia, and Intel are all planning to invest in Arm once it is listed on the stock market. It was previously reported that Arm was targeting Nvidia as an anchor investor, with the companies engaged in talks in July.

SoftBank has been looking to take Arm public since last year when its deal to sell the chip designer to Nvidia broke down amid objections from antitrust regulators. According to sources familiar with the matter, SoftBank could raise between $8 billion and $10 billion from the U.S. listing.

Arm is set to officially apply to the U.S. Securities and Exchange Commission later this month for its IPO listing.

The post Apple and Samsung to Invest in Arm at IPO appeared first on theprimarymarket.com.

If Samsung does choose Bing over Google, this could lead to a loss of $3 billion in annual revenue for Alphabet. While Google has historically been the market leader in the search engine space, Bing has been threatening Google’s dominance following the addition of OpenAI’s ChatGPT to provide responses to users’ queries.

Google has been working on several projects in an effort to compete with Bing and OpenAI on the artificial intelligence front. This includes a new project called Magi, which involves the addition of AI capabilities to its existing features.

According to IDC data, Samsung shipped 261 million smartphones in 2022 running Google’s Android software. In addition to its contract with Samsung, Google also has an agreement in place, which the New York Times valued at $20 billion in annual revenue.

The post Google Stocks Slide Amid Report That Samsung May Opt for Bing appeared first on theprimarymarket.com.

According to The Korea Herald, Samsung’s earnings have plummeted as much as 96% compared to the same period in 2022 and will come to around $455 million (600 billion won). It also expects sales of $47.7 billion (63 trillion won), which would mark a 19% drop.

The company believes that the lesser demand for semiconductors had the biggest impact on its profit, which is why it’s shifting its strategy while hoping to clear out its inventory to a degree.

“We’re adjusting to lower memory production to a meaningful level… in addition to optimizing line operations that are already underway,” Samsung said in a statement provided to the media outlet.

While rival chip makers SK Hynix and Micron Technology previously cut their output, Samsung resisted the urge to make the same, hoping to grab a bigger share of the market. However, the market conditions have forced the company to get on board. Analysts now predict that chip prices to get a boost due to cuts.

The post Samsung to Scale Down Memory Chip Production Amid Expected Profit Slide appeared first on theprimarymarket.com.

While the broader industry tends to cut chip production in such circumstances, Samsung is committed to pushing production at its largest semiconductor plant with a vision to meet mid to long-term demand. “We plan to stand behind our original infrastructure investment plans,” Han Jin-man, executive vice president of memory business at Samsung stated when first asked about this situation in October.

Analysts expect that Samsung’s decision to invest more in chip production will likely assist the company in expanding its market share in memory chips. The company is reportedly looking to add a 12-inch wafers capacity for DRAM memory chips at the facility.

By contrast, major rival Micron Technology Inc announced last week its plans to scale back investments in 2023 to between $7 billion and $7.5 billion from $12 billion in 2022. Taiwanese chipmaker TSMC, another close rival, has decided to reduce its budget by 10% for the coming year.

The post Samsung Eyes Chip Production Growth in 2023 appeared first on theprimarymarket.com.