Samsung Electronics on July 31 announced that its second-quarter operating profit exceeded expectations, rising 1,458.2 percent to 10.44 trillion won, with strong demand for high-bandwidth memory (HBM) as well as conventional memory such as DRAM, driven by a surge in AI investments, as the main drivers.

The South Korean giant expects server AI demand to remain high in the second half of the year, with products such as high-bandwidth memory (HBM), DRAM, and solid-state drives (SDDs).

108001810 1720144135479 gettyimages 2128592390 cros notitle240228_np7xJ.jpeg
Samsung reported strong second-quarter earnings thanks to demand for AI memory chips. Photo: CNBC

The company added that expanding capacity to meet demand for HBM and server DRAM could further limit the supply of conventional memory chips.

Also at the earnings announcement, Samsung shared its plans to address the demand for AI chips by expanding production of HBM-3E, its latest AI memory product.

The jump in earnings has brought joy to shareholders of the South Korean tech giant. The company said it will pay a cash dividend of 361 won per common and preferred share.

“Under our current dividend policy, the total quarterly distribution amounting to approximately 2.45 trillion won will be paid by the end of this August,” Samsung said in a statement.

Samsung shares rose as much as 1.35% on Wednesday morning (July 31).

(According to CNBC)

Apple, Samsung surpass Chinese smartphone brands Data from Counterpoint Research shows that the global smartphone market grew by 6% in the second quarter of 2024 with Apple and Samsung taking the top two positions, followed by Chinese brands such as Xiaomi, Vivo and Oppo.