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Samsung Electronics Co. has already bought out subsequent yr’s manufacturing of its next-generation HBM4 chips after starting long-awaited HBM3E shipments to Nvidia Corp. within the third quarter, underscoring a powerful comeback within the world reminiscence market fueled by surging demand for artificial-intelligence servers.
The South Korean reminiscence large mentioned Thursday that its HBM3E chips are “at the moment in mass manufacturing and being bought to all associated clients,” confirming profitable shipments of its fifth-generation high-bandwidth reminiscence to Nvidia.
The Korea Financial Every day reported in September that Samsung had handed Nvidia’s qualification exams for its 12-layer HBM3E product, a milestone that had lengthy eluded the corporate.
Samsung additionally mentioned it has shipped samples of its next-generation HBM4 chips to key purchasers for high quality testing and signaled sturdy demand for its upcoming sixth-generation lineup, noting that preorders for subsequent yr’s HBM provide already exceed its deliberate output.
“We’ve considerably expanded our HBM manufacturing for subsequent yr in contrast with this yr, but buyer demand has already outpaced provide,” Kim Jae-june, government vice chairman of Samsung’s reminiscence enterprise, mentioned earlier in the course of the firm’s third-quarter earnings name. “We’re contemplating additional capability growth as orders proceed to extend.”
Samsung shares jumped 3.6% to shut the day at 104,100 received ($72.90) in Seoul buying and selling.
“Going ahead in 2026, the Reminiscence Enterprise will deal with the mass manufacturing of HBM4 merchandise with differentiated efficiency, whereas concurrently aiming to scale out the HBM gross sales base,” Samsung mentioned in an announcement.
RECORD HIGH MEMORY SALES IN Q3
Helped by resurgent demand for its high-performance HBM chips, Samsung’s reminiscence enterprise reported record-high quarterly income of 26.7 trillion received within the three months ended September.
The power got here from brisk gross sales of HBM chips, double information charge 5 (DDR5) and graphics DDR7 (GDDR7) reminiscence, in addition to solid-state drives for servers.
Demand for high-value reminiscence chips was pushed largely by synthetic intelligence servers amid the persevering with AI funding cycle, the corporate mentioned.
The efficiency lifted total revenue on the System Options (DS) division, which oversees Samsung’s total semiconductor enterprise.
The unit posted 33.1 trillion received in income and seven.0 trillion received in working revenue, up 13% and three%, respectively, from a yr earlier.
Samsung cited improved reminiscence costs on excessive demand and lowered one-time stock changes as contributing elements.
NON-MEMORY STRENGTH AND EXPANDING FOUNDRY TIES
Outdoors of reminiscence, its System LSI enterprise maintained secure premium system-on-chip (SoC) orders, whereas the contract chip manufacturing arm recorded important enchancment in earnings on the again of record-high buyer orders for superior nodes.
In August, Apple Inc. confirmed that Samsung would produce its chips on the Korean chipmaker’s manufacturing amenities within the US as a part of Apple’s new American Manufacturing Program, or AMP.
A month earlier, Tesla Inc. chosen Samsung to supply its AI6 processor below a $16.5 billion contract.
Final week, The Korea Financial Every day solely reported that Samsung can also be creating an AI modem chip designed for satellite tv for pc communications, concentrating on SpaceX’s Starlink community as a part of its next-generation non-terrestrial 6G ambitions.
Trade observers are additionally watching intently to see whether or not Samsung can safe foundry orders from its longtime ally Qualcomm Inc.
STRONG RESULTS ACROSS DIVISIONS
The System eXperience (DX) division, which incorporates Samsung’s smartphone and client electronics items, reported income of 48.4 trillion received, up 8% year-over-year, and working revenue of three.5 trillion received, up 0.1%.
Robust gross sales of its Galaxy Z Fold7 and Z Flip7 foldable smartphones, which have been launched this summer time, and regular demand for its flagship Galaxy S25 sequence supported the outcomes, the corporate mentioned.
Its show enterprise, Samsung Show Co., reported stronger leads to the third quarter on strong demand for flagship smartphone panels and a rebound in large-display gross sales for gaming displays.
Its automotive and audio subsidiary, Harman Worldwide Industries Inc., additionally noticed stable progress, pushed by continued power in automotive electronics and connected-car methods, together with regular positive factors in its premium client audio enterprise, together with high-end sound methods and wi-fi units.
Mixed, Samsung’s DS and DX items drove its consolidated third-quarter income to 86.1 trillion received, which is its highest-ever quarterly gross sales, and working revenue to 12.2 trillion received, up 3% from a yr in the past.
BRIGHT OUTLOOK ON AI MOMENTUM
Samsung projected that the speedy growth of synthetic intelligence will proceed to drive demand for its high-value reminiscence and superior logic chips.
The Korean chip large mentioned it is going to actively reply to demand from AI and standard servers with HBM3E, high-density enterprise SSDs and superior reminiscence choices, whereas increasing gross sales of server reminiscence merchandise resembling 128GB DDR5 and 24Gb GDDR7 chips.
The corporate additionally plans to increase its capability for 1c DRAM, used as a base die for HBM4, and improve gross sales of DDR5, LPDDR5x, and high-density QLC SSDs to satisfy the demand for AI purposes.
Trade observers are intently watching whether or not Samsung and Nvidia will announce a brand new collaboration at a gathering in Seoul tonight between their chiefs – Samsung Govt Chairman Jay Y. Lee and Nvidia Chief Govt Jensen Huang, who’s visiting Korea for the APEC CEO Summit, a sideline occasion of the APEC summit that opened earlier at this time in Gyeongju.
Its foundry enterprise will ramp up manufacturing of 2-nanometer Gate-All-Round chips and put together to start operations at its new fab in Taylor, Texas, subsequent yr.
On the cellular entrance, Samsung mentioned it is going to construct on the success of its foldables by increasing AI-enabled smartphones via seasonal promotions and partnerships with world tech corporations.
“The speedy progress of the AI trade is anticipated to open up new market alternatives for each our semiconductor and machine companies,” Samsung mentioned.
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