Seoul-South Korea Tech News: Samsung Electronics Co. has reported an astonishing 15-fold increase in operating profit for the second quarter of this year, driven by a surge in demand for memory chips fueled by the growth of artificial intelligence (AI) technologies.
In a statement released on Wednesday, the South Korean tech giant revealed that its operating profit for the April-June period reached 10.4 trillion won (approximately USD 7.5 billion), a dramatic rise from just 670 billion won in the same quarter last year.
Samsung's consolidated revenues also saw a significant boost, climbing about 23 percent to 74 trillion won (around USD 53 billion). The company attributed this growth to favorable market conditions that led to higher average sales prices, as well as strong sales of organic light-emitting diode (OLED) panels.
The increase in profits is largely attributed to the rising demand for high bandwidth memory (HBM), conventional DRAM, and server solid-state drives (SSDs). The company noted that the memory market as a whole has been recovering, thanks in part to continued investments in AI by cloud service providers and an increased need for AI solutions in business servers.
Looking ahead to the second half of the year, Samsung anticipates that AI servers will occupy a larger share of the market, as both major cloud service providers and enterprises continue to ramp up their AI investments.
Latest Tech Updates:
Samsung vs Motorola: Which Brand Offers Better Features in the ₹30,000 Segment?
Four Top Smartphones Confirmed to Launch in India in July, Check Here
