Samsung Electronics Co Ltd reported a 31% drop in third-quarter profit and said geopolitical uncertainties are likely to dampen demand until early 2023, as the global economic downturn slashed appetite for electronic devices.
reported a 31% drop in third-quarter profit and said geopolitical uncertainties are likely to dampen demand until early 2023, as the global economic downturn slashed appetite for electronic devices.
The world’s top maker of memory chips and smartphones said that despite the headwinds in the global economy, demand for its semiconductors may recover in the second half of next year as new data centres and computers require more memory.
“We are not considering an artificial production cut,” said Han Jin-man, executive vice president of memory business at
“Market demand has contracted right now, but … we need to prepare for mid- to long-term demand recovery.”
Samsung said it did not expect any change to its 2023 memory chip investment plans, in contrast to smaller rival
, which on Wednesday warned of an “unprecedented deterioration” in memory chip demand and slashed 2023 investment by more than 50%.
