Kingston, Jamaica — SAMSUNG Electronics has announced unprecedented financial results for the second quarter of 2024, solidifying its position as a global leader in the tech industry.

The surge in artificial intelligence (AI) has driven the South Korean company’s net profit to exponential growth, surpassing the results of the same period last year by an impressive 471 per cent.

Samsung Electronics achieved a net profit of 9.84 trillion won (approximately US$7.139 billion) in the second quarter, marking a 471 per cent year-over-year increase, largely due to rising chip prices fuelled by the AI boom, the company reported on July 31st. The Suwon-based company (located south of Seoul) recorded an EBITDA of 11.60 trillion won (7.7 billion euros), six times more than in the same quarter of the previous year, while its operating profit reached around 10.44 trillion won (7.0 billion euros).

This extraordinary growth is primarily attributed to the surging demand for high-end chips, essential for powering AI applications that are transforming various sectors, from cloud computing to mobile devices. EFE news agency recently highlighted how Samsung’s investment in AI-focused research and development is paying off, positioning the company at the forefront of technological innovation.

In addition to semiconductors, other business segments of Samsung have also contributed to the company’s strong performance. For instance, the mobile devices division has seen an increase in sales of high-end smartphones, driven by the integration of innovative AI-powered features such as smarter virtual assistants and cameras with advanced image processing capabilities.

“Artificial intelligence is revolutionising the way we live and work, and Samsung is uniquely positioned to capitalise on this opportunity,” said Ricardo Gonzalez, director of mobile experiences sales at Samsung. “Our investment in research and development, combined with our robust supply chain and innovation capabilities, enables us to deliver cutting-edge solutions that meet the needs of our customers worldwide.”

Looking ahead, Samsung remains optimistic about its long-term growth prospects. The company continues to invest heavily in research and development, with a particular focus on AI, machine learning, and 5G. Additionally, Samsung is exploring new business opportunities, such as electric mobility and digital health, which could further drive its growth in the coming years.