Samsung profit seen soaring 13-fold on AI boom

STORY: Samsung profits look set to explode thanks to the AI boom.

Analysts polled by LSEG predict a 13-fold jump for the second-quarter.

That would take operating profit to over $6.3 billion - the highest number since the third quarter of 2022.

Samsung has benefited from insatiable demand for high-end chips used in AI systems.

Demand is strong too for semiconductors used in data server centres, and the gadgets that run AI products.

All that has helped drive prices for silicon higher too.

Industry experts estimate memory chip prices were up by as much as a fifth over the period.

Samsung’s mobile phone business may be having a tougher time, though.

Profits there are forecast to fall, despite shipping a similar number of handsets.

Income has been hit by steeper costs for parts, marketing and the development of AI services.

The company is set to launch its latest flagship phones and accessories at an event in Paris next week.

That’s expected to include a ring for health monitoring.

Samsung shares gained around 2.5% in early trades on Thursday.