Samsung Electronics Q4 net profit expands over 20% despite waning chip demand

So, this could be a 'blessing in disguise' for Samsung, allowing them to take the time needed to perfect their solution or to lower costs,

he added

The rapidly increasing demand for AI chips also heightens the technological difficulty in developing new, custom-made chips for customers in a timely manner,

she added

While Samsung faces fundamental technology headwinds, DeepSeek's claims have challenged the fundamental economics and investments for ongoing AI waves,

Counterpoint's Shah said

This 'frugal innovation' could potentially slow down or stretch the hundreds of billions of dollars in AI infrastructure investments over the years,

he said

Samsung lost first wave of semiconductor AI boom cycle to rivals SK hynix with HBM in AI servers and now is being challenged by Micron for DRAM in AI smartphones and PCs, especially in its own latest Galaxy S25 series flagships,

he said

Although fourth quarter revenue and operating profit decreased on a quarter-on-quarter (QoQ) basis, annual revenue reached the second-highest on record, surpassed only in 2022,

Samsung said in a press release

In the first quarter of 2025... overall earnings improvement may be limited due to weakness in the semiconductors business,

Samsung said in a statement

While it is premature to make judgements based on the currently limited information, we anticipate that long-term opportunities and short-term risks will coexist in the market,

he said