Tuesday, May 11, 2021
Home Lead Story Tech Giant Samsung Expects Gradual Recovery in Memory Chip Demands, Smartphone Shipments

Tech Giant Samsung Expects Gradual Recovery in Memory Chip Demands, Smartphone Shipments

In a conference call, Samsung expected bit growth of more than 10 per cent for DRAM and above 20 per cent for NAND flash

Samsung Electronics Co. has said it is expecting a gradual recovery in memory chip demand and shipments of smartphones this year after a 38 per cent drop in its fourth-quarter earnings, aided by improving demand from data centers and smartphone makers, and releases of the latest premium gadgets.

Samsung, the world’s leading memory chip and smartphone manufacturer, posted a net income of 5.23 trillion won ($4.4 billion) in the October-December period, compared with a profit of 8.46 trillion won a year earlier, due to a slump in the memory chip sector, Yonhap news agency reported on Thursday.

Its fourth-quarter operating profit slid 33.7 per cent on-year to 7.16 trillion won in the fourth quarter, but sales rose 1.05 per cent to 59.88 trillion won over the cited period.

The figures were in line with the earnings guidance announced earlier this month. The tech giant cautiously painted a rosy picture for its chipmaking business this year with a recovery in memory chip demand.

In a conference call, Samsung expected bit growth of more than 10 per cent for DRAM and above 20 per cent for NAND flash. Bit growth refers to the amount of memory produced and is considered a key barometer for gauging market demand.

“In 2020 on a whole, server demand for DRAM is seen as solid on the back of increased investments by data centers,” the company said. “For mobile, the pace of 5G expansion and its effects should be monitored closely, but the company sees demand picking up around mass-market models as major manufacturers expand their 5G smartphone lineups.”

Samsung
Samsung Electronics Co. has said it is expecting a gradual recovery in memory chip demand and shipments of smartphones this year after a 38 per cent drop in its fourth-quarter earnings, aided by improving demand from data centers and smartphone makers, and releases of the latest premium gadgets. Wikimedia Commons

Samsung also expected double-digit revenue growth in its foundry business on mass production of 8-nanometer computing chips and demand for 5G-related chips. Revenue from the semiconductor division stood at 16.79 trillion won in the last three months of 2019, a 10.4 per cent decline from a year earlier. Its operating profit from the semiconductor business was 3.45 trillion won, down 55 per cent over the cited period.

“The memory business reported an on-year decline in profit as DRAM prices continued their downward trend despite rising shipments,” Samsung said.

ALSO READ: Facebook and Twitter Take Measures to Fight the Spread of Misinformation About Coronavirus

But its logic chip business posted a rise in profit due to increasing demand for high-resolution image sensors and high performance computer chips, it said. (IANS)

STAY CONNECTED

19,511FansLike
362FollowersFollow
1,773FollowersFollow

Most Popular

Knowledge Sharing Social Media Platform For Medical Students: MedBound

We've already been using major social networking sites for different purposes. Well, there are also some social networking sites that aren't to be missed...

Covid19 In India Brought Automation Technologies And IA To The Forefront

The Covid-19 pandemic has brought automation technologies to the forefront and the Intelligent Automation (IA) market in India is estimated to grow at a...

Corset: A Brief History

By- Khushi Bisht Corsets have existed for a very long time. It first originated in Italy and was brought to France in the 16th century...

Hybrid Work Is The Next Big Disruption In US Society

By Dora Mekouar Hybrid schedules could be the next monumental shift in the American workplace after last year's sudden move to remote work. More than 70%...

An Overview Of Bipolar Disorder

BY- JAYA CHOUDHARY Bipolar disorder, also known as bipolar depressive disorder, is a neurological disorder that causes mood and behavior changes. Bipolar disorder is characterized...

Cancer Immunotherapy Approach Targets Common Genetic Alteration

By Blake Jones Researchers have found a prototype for a new kind of immunotherapy for cancer. This therapy uses modified T-cells to target and attack...

Outlook Into Wellness Tourism Growth During Pandemic

The roller coaster ride that was 2020 brought the biggest dip in modern history, forcing individuals to adapt to major lifestyle changes while the...

Strengthen Your Immune System Against Foreign Pathogens

At the personal level, the fight against the Covid-19 virus begins with strong immunity. As the second wave turns out to be more alarming...

Recent Comments