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Samsung to extend production cuts post $7 billion chip loss in 2023 so far
Recently, Samsung revealed its earnings guidance for the second quarter, reporting a 95 percent profit drop. Due to a sharp decline in its semiconductor business, Samsung announced plans to extend production cuts because a demand recovery is largely constrained to high-end chips used in AI.
Reuters reports that the decision underscores the depth of the unexpected memory chip business downturn, which led Samsung to incur a record $7 billion (8.9 trillion won) operating loss from its bread-and-butter chip business in the first six months of this year.
“Production cuts across the industry are likely to continue in the second half, and demand is expected to gradually recover as clients continue to destock their (chip) inventory,” Samsung, said in a statement.
Samsung said it spent 14.5 trillion won in capital expenditures during the second quarter, of which 13.5 trillion won was spent on chips.
Jaejune Kim, executive vice president of Samsung’s memory business, told analysts on an earnings call that it would extend its production cuts and make additional output adjustments for certain products including NAND flash memory chips, which are used to store digital data.
Source – Reuters
Samsung today announced that it will hold a press conference on January 6, 2025, a day before the opening of the world’s largest information technology (IT) and consumer electronics exhibition, CES 2025, in Las Vegas, USA.
The event, featuring Vice Chairman Han Jong-hee, CEO of Samsung and head of the DX division, as the keynote speaker, will reveal Samsung’s Home AI innovations and strategy under the theme “AI for All: Everyday, Everywhere.”
The press conference will be streamed live on Samsung Newsroom.
Samsung’s CES 2025 invite also reveals that the Press Conference is open to all credentialed members of the media with a CES badge, and there is no need to register or RSVP.
However, it is highly recommended that participants arrive early as seats are very limited and will be provided on a first-come, first-served basis.
Samsung CES 2025 Invitation | Image: Samsung
CES 2025 is a great opportunity to showcase technological innovations. Rather than mobile, Samsung prefers Home AI and appliances to be showcased at the exhibition. It solidifies the Galaxy S25 unveiling to happen separately.
Samsung could introduce the new flagships in late January next year. Korean media reported that a Galaxy Unpacked could be held on January 22. The next-gen Galaxy flagships are expected to gain a positive response in the market.
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Samsung One UI 7 beta program to start on December 5, Android 15 is coming for the Galaxy phones
After months of waiting, we have an official confirmation. Thanks to Samsung Germany, we now know the specific release date for the Android 15-based One UI 7 beta program for Samsung Galaxy users.
The Samsung One UI 7.0 beta is scheduled to launch on December 5, 2024, initially for the Galaxy S24 series, including the Galaxy S24, Galaxy S24+, and Galaxy S24 Ultra.
This beta release will start in Germany, with expectations of a broader availability to other eligible countries soon after. The update is expected to bring visible design changes and new features to the user interface, enhancing the overall user experience.
However, specific details about all the new features in the One UI 7.0 beta have not been fully disclosed. Still, it’s set to be a significant update in terms of UI redesign and functionality.
The One UI 7 beta program is set to start initially in:
- Germany
Other countries expected to follow in subsequent phases, based on historical patterns, include:
- Korea
- United States
- India
- United Kingdom
- Poland
- China
However, the exact timeline for these countries can vary, and official announcements would provide the definitive schedule for each region.
Note: You can check the latest Samsung One UI 7 beta program banner on the Samsung Members app.
Samsung Electronics named a new CFO and announced plans to establish an AI Center for the future. The company has also strengthened AI R&D and deployed R&D personnel to the site to strengthen communication.
According to the info, Samsung appointed Park Soon-cheol as the CFO of the DX Division and unveiled the AI Center. As the chip process competition has intensified, Samsung has taken this special measure to build a foundation.
As the business environment surrounding Samsung is not easy, the message is that it will strengthen its internal stability. The DS division in charge of semiconductors significantly strengthened:
- AI research functions
- Established a responsible development system
- Implemented follow-up personnel
- Reorganization in the direction of integrating
- Development and support organizations.
The new Chief Financial Officer will coordinate communication between each business department and top management, and efficiently manage business strategies and financial operations.
The new AI center will be led by Vice President Song Yong-ho. VP Song plans to lead over 60 people to develop next-gen storage devices and lead technological innovation given the AI era.
In addition, the system LSI division appointed Vice President Choi Jin-hyuk as the head of the SoC business team. Vice President Choi plans to lead the development of application processor (AP) chips, which are Exynos.
Apart from this, Samsung has also divided the Foundry Division into two categories: Manufacturing and Technology. Technical organizations such as production process (Fab) and cleaning and diffusion were placed under the subsidiary.
- The message is for R&D personnel to communicate directly on the spot.