Samsung’s Semiconductor Business Saw Decline QoQ Basis

- Advertisement -

Samsung is said to be a major part of South Korea’s recently announced plans worth approximately $450 billion around chip manufacturing

Samsung’s semiconductor business saw an earnings decline quarter-on-quarter (QoQ) despite solid memory shipments. The company noted that this decline was mainly due to the production disruption at the Austin fab, and a downward trend in NAND prices.

Samsung further noted that its earnings at the semiconductor business is expected to increase as memory market conditions improve on the back of strong server demand.

- Advertisement -

“The Foundry Business has seen a full resumption of production at the Austin fab, while the System LSI Business is expected to continue to be impacted from the previous quarter’s foundry disruption. For displays, mobile panel sales are likely to decline due to weak seasonality for mobile phones and the effects of some component shortages,” read an official press note released by the company.

In numbers, the company’s semiconductor business posted KRW 19.01 trillion in consolidated revenue and KRW 3.37 trillion in operating profit in the first quarter.

Display earnings improve YoY

Samsung’s display panel business posted KRW 6.92 trillion in consolidated revenue and KRW 0.36 trillion in operating profit for the first quarter. The company explains that its mobile display earnings declined QoQ because of chip shortages affecting major smartphone customers and weak seasonality.

The South Korea- based company, during the ongoing quarter, expects weak demand for mobile displays compared to the previous quarter because of the seasonal impact and as consumers hold off buying new smartphone models until later in the year.

A part of South Korea’s new aim

Samsung is said to be a major part of South Korea’s recently announced plans worth approximately $450 billion around chip manufacturing. The country plans to spend this mammoth amount around building the biggest chip making base in the world. Samsung Electronics and SK Hynix will be investing more than 510 trillion won towards achieving this target.

Samsung and SK Hynix, along 151 more companies will be fueling the project. While both Samsung and Hynix are known to be the superheroes of making and supplying memory chips to the entire world, it looks like that the government of South Korea will now try to focus more on chips that are capable of doing advance logic computations.

Semiconductors, as per South Korea’s Ministry of Trade, Industry and Energy, contribute the largest share of exports made by the country. The ministry expects chip exports to double to $200 billion by 2030. There was news of USA’s recently elected President Joe Biden seeking $37 billion in funding to rescue the ailing chip manufacturing industry in the United States, recently.

- Advertisement -

Most Popular Articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here
Captcha verification failed!
CAPTCHA user score failed. Please contact us!

Exclusive

Indian Automobile Industry Value Surges 19% In FY 2023-24

0
India's vehicle production grew by 10%, with a 19% increase in value.  The UV + SUV segment saw the highest growth, with a 23% rise...

Deadstock Or Forgotten Treasure?

0
In a world where technology is advancing at a breakneck speed, are the deadstock electronics components in your warehouse on the verge of becoming...

Breathing Through “First-Time Silicon Success”

0
No one is born a leader, but the choices we make in life propel us to become a leader. For Chitra Hariharan, an innocent...

Buzz

Vitesco Debuts Single-Module Rotor Lock Actuator For EVs

0
Integration of park lock, rotor position sensing, and brush system into a single module for electric axles simplifies design, reduces space requirements, and lowers...

Indian Automobile Industry Value Surges 19% In FY 2023-24

0
India's vehicle production grew by 10%, with a 19% increase in value.  The UV + SUV segment saw the highest growth, with a 23% rise...

Goenka Green’s ElectroRide To Raise $10-15M In FY25, Expanding To 4Ws

0
Electroride has set ambitious goals for FY25 to expand its business significantly. The company targets a revenue range of USD 12-15 million in FY25...

Important Sectors

Vitesco Debuts Single-Module Rotor Lock Actuator For EVs

0
Integration of park lock, rotor position sensing, and brush system into a single module for electric axles simplifies design, reduces space requirements, and lowers...

Goenka Green’s ElectroRide To Raise $10-15M In FY25, Expanding To 4Ws

0
Electroride has set ambitious goals for FY25 to expand its business significantly. The company targets a revenue range of USD 12-15 million in FY25...

MAHLE Launches X30 Drive System For Electric Bikes

0
The system maintains compatibility with all components, accessories, and the digital ecosystem of the existing X20 system. MAHLE SmartBike Systems has unveiled its X30 drive...

MeitY Plans Billion-Dollar Subsidy Scheme For Component Manufacturing

0
Reports indicate that the Government will offer subsidies for lands obtained to manufacture electronics components in categories where the investment-to-output ratio is not high. The...

Government Revamps PLI Scheme To Boost Telecom Manufacturing

0
The government revamps the PLI scheme for the telecom sector, boosting exports and incorporating more MSMEs, with increased allocation from Rs 1,000 crore to...

Manufacturing

Deadstock Or Forgotten Treasure?

0
In a world where technology is advancing at a breakneck speed, are the deadstock electronics components in your warehouse on the verge of becoming...

Honeywell Creates AI Software For Gigafactory Efficiency

0
Honeywell anticipates that its new battery manufacturing excellence platform will lower the costs of cell production, speed up the ramp-up cycles, and decrease material...

Raju B Ketkale Named CEO Of Lumax Industries

0
He takes over from Vishnu Johri, who is stepping down for personal reasons. Lumax Industries Limited, a Tier-1 automotive lighting system and component manufacturer within...

Schaeffler And Symbio JV Innoplate Starts Fuel Cell Plate Production

0
Starting with an initial production capacity of 4 million bipolar plates, the Innoplate joint venture is projected to achieve an annual output of 50...

Tesla Pushes Suppliers To Source Parts Beyond Taiwan And China

0
China and Taiwan are major global producers of essential electronics parts and components. Tesla has requested that its suppliers move the production of components and...