Samsung posts record Q1 profits as AI memory chips surge
Samsung just posted its highest-ever Q1 profits, mostly thanks to the booming demand for memory chips used in AI tech.
Its chip division pulled in 53.7 trillion won ($36.15 billion), which is a huge jump from last year and now makes up 94% of Samsung's total earnings.
This surge also helped push South Korea's Kospi stock index past the 6,700 mark.
Samsung secures deals, faces strike risk
To keep up with all this AI-fueled demand, Samsung has locked in multi-year deals to make sure its chips get to customers.
It has been cranking out high-bandwidth HBM4 chips since February and wants to triple revenue from this segment this year.
But it's not all smooth sailing: possible labor strikes over pay and rising chip prices are hitting other parts of Samsung's business, with mobile and display profits dropping sharply in Q1.
The company says it will boost investment and set up a dedicated response system to prevent production disruption.