Samsung Electronics on Tuesday reported a 10-fold enhance in working revenue for the final quarter because the enlargement of synthetic intelligence applied sciences drives a rebound within the markets for laptop reminiscence chips.
The South Korean semiconductor and smartphone big stated its working revenue for the January-March quarter got here in at 6.6 trillion received ($4.8 billion), up from the 640 billion received ($465 million) it earned throughout the identical interval final 12 months.
Income rose by practically 13 % to 71.9 trillion received ($52 billion), pushed by larger costs for reminiscence chips and sturdy gross sales of its flagship Galaxy S24 smartphones, the corporate stated.
The corporate earned 1.91 trillion received ($1.38 billion) in working revenue from its semiconductor enterprise, marking the division’s first quarterly revenue because the fourth quarter of 2022, because the chip market continues to get well from a cyclical hunch deepened by the COVID-19 pandemic and world commerce tensions.
Samsung projected the reminiscence chip market to stay robust within the coming months, pushed by the enlargement of generative AI applied sciences, which is rising the demand for each typical chips utilized in servers and superior chips designed to course of AI, together with high-bandwidth reminiscence, or HBM.
Responding to larger calls for for AI chips, Samsung stated it began this month the mass manufacturing of its newest HBM chips, known as 8-layer HBM3E, and that it plans to begin producing the 12-layer model of the chips throughout the second quarter.
“Within the second half of 2024, enterprise situations are anticipated to stay optimistic with demand — primarily round generative AI — holding robust, regardless of continued volatility regarding macroeconomic tendencies and geopolitical points,” Samsung stated in an announcement.
For smartphones, the corporate will proceed to deal with boosting the gross sales of its flagship machine, Galaxy S24, which is constructed with an array of latest options enabled by AI, together with reside translation throughout cellphone calls in 13 languages and 17 dialects.
Samsung stated it plans to increase AI options past the S24 to different cellular gadgets because it expects the applied sciences to drive progress within the smartphone market in coming months amid enhancements in world client spending.
