Samsung Posts Record Q3 Operating Profit of $80.5 Billion on AI Chip Demand

Samsung Electronics said Thursday its operating profit for the July-September quarter hit a record 107.4 trillion won ($80.5 billion), driven by surging demand for memory chips used in artificial intelligence systems. Revenue rose to an all-time high of 195.3 trillion won ($146 billion), marking the company's fourth consecutive quarter of record profit and revenue. The filing came a day after domestic rival SK Hynix reported record third-quarter profit. The two South Korean semiconductor giants control roughly two-thirds of the global memory market and face persistent demand amid the AI boom. Samsung said it expects demand for AI-related chips to accelerate through 2027, outpacing supply as clients expand AI infrastructure. It will focus on high-bandwidth memory, server DRAM and solid-state drives for AI servers. Samsung and SK Hynix in June announced plans to invest a combined 800 trillion won ($599 billion) in a new chipmaking hub in southwestern South Korea. Some analysts question whether the spending will pay off, and the Bank of Korea has warned the trade-dependent economy is becoming too reliant on chips, potentially deepening any AI-related downturn.