Samsung is giving massive bonuses to workers in its chip business because of the growing AI market. The company’s semiconductor division will reportedly pay about $26.6 billion in bonuses to nearly 78,000 employees this year.

Workers making AI memory chips are getting the biggest rewards. On average, each employee could receive around $340,000, mostly in Samsung stock, as per the latest information. Some workers may even get bonuses close to $400,000.

Samsung created a new profit-sharing plan for chip employees. Workers will receive a percentage of the division’s profits, and the deal could continue for the next 10 years if profits remain high.

The agreement was approved after an 18-day strike by workers. Samsung wanted to avoid more delays as demand for AI chips continues to rise around the world.

However, workers in Samsung’s smartphone, TV, and home appliance divisions are getting much smaller bonuses. Reports say these employees may receive only around $4,000 each this year.

The huge difference has created anger inside the company. Some workers even tried to stop the bonus deal through legal action, while smaller union groups showed less support for it.

Last year, Samsung’s average yearly salary was around $105,000. Now, some AI chip workers are earning bonuses worth three or four years of normal pay. The situation shows how the AI boom is creating huge rewards for some workers, while others inside the same company feel left behind.

Samsung is making strong progress on its new chip factory in Taylor, Texas. The company has been working on it for about five years. Now, the building work is mostly done, and Samsung has started setting up the machines inside. This is a big step because it means the factory is getting closer to starting its work.

More than 3,000 engineers have come to the site. Some work for Samsung, and others work for companies that make the machines. Their job is to install and set up the equipment. These machines are very big and heavy, with a total weight of about 20,000 tons. They are also very advanced.

The factory will make chips using 2-nanometer technology. This means the chips will be very fast and use less power. Samsung says everything is going as planned. The company expects the factory to start full production by the end of 2026.

Samsung has also started hiring people for the factory. It has posted 178 job openings in 146 different roles. These include technical jobs, safety jobs, and management roles. When the factory is fully ready, it will employ about 1,500 people. Some workers from other Samsung factories may also move to Texas to help in the beginning.

This new factory is very important for Samsung. It will help the company make advanced chips and grow its business. It will also create jobs and support the tech industry in the future.

Samsung is facing growing tension between its management and workers as talks over pay and bonuses have failed. The company’s largest union is now increasing pressure on employees to join a strike.

The union is planning a big strike in May. It said it will publicly share which teams and departments take part in the strike. This is meant to encourage more workers to join. The union also warned that teams that do not participate may not get benefits later, such as better bonuses or improved working conditions.

Earlier, the union had already said that workers who do not join the strike could face negative outcomes. Because of this, pressure is increasing on employees to take part.

Most union members, around about 70%, work in the semiconductor (DS) division, which is very important for the company’s business. The union is focusing on this division because a strike there could strongly affect operations. However, workers in the finished product division are less interested in joining the strike.

The main issue is about performance bonuses. Right now, bonuses are limited to 50% of a worker’s yearly salary. The union believes this limit is unfair and wants it removed so workers can earn more.

On the other hand, the company has offered a different plan. If the semiconductor division becomes the best in the domestic market, more than 10% of profits will be shared as bonuses. This could allow workers to earn more than the current limit through special rewards.

Even after several meetings in late March, both sides could not reach an agreement, and discussions have stopped for now. Stay tuned for more information.

Samsung has announced that it is starting work on a new technology – silicon photonics. The company shared this news at the OFC 2026 event in Los Angeles.

Silicon photonics is a way to transmit data using light rather than electricity. Using light makes data travel faster and uses less power. This is very useful because AI data centers are growing and need to move a lot of data quickly.

Samsung reportedly announced it is ready to start making these new chips when customers send their designs. The company has already prepared everything needed for production.

First, Samsung will focus on making chips called photonic integrated circuits (PICs). These chips combine many small parts into one. These parts help turn electrical signals into light, send the light, and then turn it back into electrical signals. Earlier, these parts were made separately, but now they are placed on one chip. This makes the system faster and more efficient.

Samsung also said its technology can reach speeds of 224 Gbps per lane. This means future devices can be very fast, up to 1.6 Tbps. At the beginning, the company will sell these chips for optical modules, even though other companies are already in this market.

In the coming years, Samsung plans to improve its technology step by step. It aims to launch optical engines in 2027, better chip packaging in 2028, and full co-packaged optics (CPO) by 2029. This will help it compete strongly in the future. Stay tuned for more information.

Samsung Display workers and the company’s management have agreed on a tentative pay raise for this year. The average increase will be 6.2%, which includes a 4.1% base raise and 2.1% extra based on performance.

Along with the pay raise, the agreement includes new benefits for workers. Employees could get a three-day special leave every five years. The company will also help workers without homes by offering housing support.

In addition, monthly fixed overtime hours will be reduced from 14 hours to 12 hours. Negotiations for the new pay deal started in January. If the agreement is approved by workers, it will be the fifth year in a row that Samsung Display has finished wage talks without any problems since 2022.

The next step is for the labor union to hold a vote. Union members will vote to approve or reject the agreement. If most workers vote yes, the deal will become official, and the new pay and benefits will start.

Union leaders said the deal is fair for both workers and the company. The pay raise and extra benefits are expected to make employees happier and more motivated. This agreement shows that Samsung Display and its workers are working well together. 

The new deal will give workers more financial security, better working hours, and extra support for housing and leave.