Seoul, South Korea - July 27, 2023 - Samsung Electronics, the world's largest chipmaker, said on Thursday that it expects global chip demand to pick up gradually in the second half of the year.

The company said that the chip market is expected to "gradually move toward stability" as production cuts in the industry take effect and inventory adjustments by customers wind down.

Samsung said that it is seeing some signs of improvement in demand for memory chips, which are used in smartphones, computers, and other devices. The company said that it is also seeing increased demand for logic chips, which are used in servers and other high-performance applications.

However, Samsung said that it is still too early to say whether the chip market will fully recover in the second half of the year. The company said that it will continue to monitor the situation and adjust its production plans accordingly.

The chip market has been struggling in recent months due to a number of factors, including the ongoing COVID-19 pandemic, the war in Ukraine, and rising inflation. These factors have led to a slowdown in demand for electronic devices, which has in turn led to a decrease in demand for chips.

However, there are some signs that the chip market may be starting to recover. In a recent report, market research firm Gartner said that it expects the global chip market to grow by 8.6% in 2023. This would be a significant improvement from the 0.6% growth that the market is expected to see in 2022.

Samsung's expectations for the second half of the year are in line with those of other chipmakers. In recent weeks, both Intel and TSMC have said that they expect chip demand to improve in the second half of the year.

However, it is important to note that the chip market is still very volatile. It is possible that demand could weaken again if the global economy enters a recession. As a result, chipmakers will need to remain cautious and adjust their production plans accordingly.

In other news:

• Intel said that it is increasing its capital spending by 20% in 2023.
• TSMC said that it is building a new chip factory in the United States.
• The chip shortage is causing delays in the production of new cars.

About Samsung Electronics

Samsung Electronics is a South Korean multinational conglomerate headquartered in Samsung Town, Seoul. It is the world's largest manufacturer of smartphones, televisions, and memory chips. The company also produces a wide range of other electronic products, including semiconductors, home appliances, and medical equipment.