Samsung Sees Semiconductor Strength Through 2027

Samsung Electronics said on the 29th, during its third-quarter earnings call, that strong semiconductor conditions are expected to continue through 2027, supported by sustained AI investment and supply constraints. The company expects its 2026 results to exceed the prior year, citing strong growth momentum. It also expects continued pressure on profitability in its Device eXperience (DX) division due to rising costs.

The semiconductor (DS) division is expected to lead growth. Samsung forecast that memory demand will significantly outstrip supply amid firm AI investment, while foundry growth accelerates. It plans to expand HBM4 sales and begin mass production of HBM4E to lead the HBM market. The company also plans to focus sales on higher-value products, including high-performance DDR5 and high-capacity enterprise solid-state drives (eSSDs), and strengthen its memory position through technology competitiveness.

System LSI plans to win new customers for custom SoCs (systems-on-chip tailored to specific customer needs) and expand applications such as sensors beyond mobile devices. The foundry business aims to accelerate growth by starting operations at its Taylor fab in the United States and ramping up mass production of 2-nanometer products for AI and high-performance computing (HPC). The Display division plans to expand sales of premium products such as foldables and its IT OLED business based on an 8.6-generation production line.

The DX division, which handles finished products, plans to improve its business structure in response to cost pressures. Samsung said it would bring agentic AI experiences to more everyday settings and devices, combine them with hardware innovation, and strengthen its position in the premium market. It also plans to expand higher-margin businesses such as service platforms and pursue AI-based productivity improvements and more efficient use of resources. Samsung said these efforts would accelerate improvements to its business structure. The company provided no specific earnings forecast figures or target amounts. These plans accompanied its outlook for industry conditions and performance in 2027, including expected growth in semiconductors and profitability pressure in DX.

Samsung Electronics said on the 29th, during its third-quarter earnings call, that strong semiconductor conditions are expected to continue through 2027, supported by sustained AI investment and supply constraints. The company expects its 2026 results to exceed the prior year, citing strong growth momentum. It also expects continued pressure on profitability in its Device eXperience (DX) division due to rising costs.

The semiconductor (DS) division is expected to lead growth. Samsung forecast that memory demand will significantly outstrip supply amid firm AI investment, while foundry growth accelerates. It plans to expand HBM4 sales and begin mass production of HBM4E to lead the HBM market. The company also plans to focus sales on higher-value products, including high-performance DDR5 and high-capacity enterprise solid-state drives (eSSDs), and strengthen its memory position through technology competitiveness.

System LSI plans to win new customers for custom SoCs (systems-on-chip tailored to specific customer needs) and expand applications such as sensors beyond mobile devices. The foundry business aims to accelerate growth by starting operations at its Taylor fab in the United States and ramping up mass production of 2-nanometer products for AI and high-performance computing (HPC). The Display division plans to expand sales of premium products such as foldables and its IT OLED business based on an 8.6-generation production line.

The DX division, which handles finished products, plans to improve its business structure in response to cost pressures. Samsung said it would bring agentic AI experiences to more everyday settings and devices, combine them with hardware innovation, and strengthen its position in the premium market. It also plans to expand higher-margin businesses such as service platforms and pursue AI-based productivity improvements and more efficient use of resources. Samsung said these efforts would accelerate improvements to its business structure. The company provided no specific earnings forecast figures or target amounts. These plans accompanied its outlook for industry conditions and performance in 2027, including expected growth in semiconductors and profitability pressure in DX.