Samsung warns chip shortage will worsen as AI demand surges
Samsung says the AI-driven boom in memory demand is likely to deepen chip shortages this year, weighing on other parts of its business.
Samsung Electronics has forecast that the global chip shortage will worsen this year, driven largely by the rapid expansion of artificial intelligence technologies.
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The company says soaring demand for high-performance memory chips, used heavily in AI servers and data centres, is creating fresh pressure across the semiconductor supply chain.
While strong memory demand is boosting parts of Samsung’s chip business, it is also creating headwinds for other divisions, including smartphones and display production, which rely on stable access to components.
The imbalance highlights how the AI boom is reshaping priorities within the industry, with resources increasingly pulled toward data-focused technologies.
The warning unsettled investors, sending Samsung shares down 1.2 percent after what had been a sharp rally in recent sessions.
The company’s outlook suggests that supply constraints could remain a key challenge throughout the year as competition intensifies for advanced chips and memory products.