In order to return to posting healthier financial figures every quarter and to better compete with TSMC, Samsung was previously reported to have cut the number of employees from its semiconductor division, which previously numbered 438. Unfortunately, analysts still remain skeptical about the success of the Korean giant in 2025. stated This year will be a tough year for the company because it has not outlined a clear strategy. With the foundry business in disarray in attracting new customers for the 3nm GAA process and many other problems, Samsung’s operating profit is expected to fall by $30 billion.

The previous operating profit estimate for Samsung in 2025 was about $47.7 billion, almost 40 percent delta

With updated figures, The Chosun Daily reports that Samsung’s operating profit in 2025 will reach 40.48 trillion Korean won, or about $30 billion, down from the previous projection of $63.59 trillion Korean won (about $47.7 billion) made in August 2024. As demand for AI-related parts continues to soar, Samsung is behind the competition, with reports saying the Korean giant should deliver ‘real results’ for HBM, or high-bandwidth memory, with its market share slowly eroded by local competitor SK hynix.

Additionally, the company faces extreme pressure from Chinese manufacturers, who continue to flood the DRAM market with more affordable alternatives. If things weren’t bad enough in terms of keeping pace with competition to meet AI demand, Samsung is also having difficulty increasing its 3nm GAA technology output, resulting in yet another loss to Qualcomm as Qualcomm reportedly places orders with TSMC. is exclusively mass producing the Snapdragon 8 Elite Gen 2 on the 3nm ‘N3P’ process. There are other external issues Samsung may face that could force it to raise prices.

With the election of Donald Trump as US President for the second time, his tariff policies could increase the price of Samsung memory chips, resulting in weakening demand for smartphones and other hardware that requires silicon from the manufacturer. Their annual cellphone shipment target in 2025 is estimated to reach 229.4 million units, so this figure is 8 million lower than the estimate of 239 million units. Overall, a gloomy picture has been painted and unless Samsung has concrete intentions about what it wants to do in the next 12 months, its operating profit could suffer.

News Source: Chosun Daily