Samsung Q2 profit surges 15-fold on strong AI demand By Investing.com

Investing.com– Samsung Electronics Co Ltd (KS:) clocked an exponential rise in its second-quarter revenue because the expertise conglomerate continued to learn from synthetic intelligence-driven demand for reminiscence chips and digital gadgets.

Samsung stated on Friday that its working revenue for the three months to June 30 doubtless rose to 10.4 trillion gained ($7.50 billion), in comparison with a revenue of 670 billion gained for a similar interval final 12 months.

The determine was a lot greater than Reuters estimates for a revenue of 8.8 trillion gained.

Second quarter gross sales doubtless rose to 74 trillion gained from 60.01 trillion gained a 12 months in the past, Samsung stated. The electronics large solely supplied a preliminary estimate of its second quarter earnings on Friday, and can launch its complete earnings later in July. 

However development in Samsung’s earnings comes on the again of elevated demand for reminiscence chips from the AI business, notably high-bandwith reminiscence chips. Samsung stated it’s going to start mass producing superior HBM chips from this 12 months, with a view to win extra orders from AI darling NVIDIA Company (NASDAQ:). 

AI helped drive up demand for the chip business over the previous 12 months, as a rising variety of companies raced to seize market share from majors similar to OpenAI with their very own choices. 

Samsung’s machine gross sales, notably these of its flagship S-series smartphones, additionally benefited from AI integration.