Samsung’s Chip Division Confirms Full-Year Loss as Profit Remains Out of Reach

June 18, 2026 – Samsung’s Device Solutions division is bracing for a full-year operating loss of between 2 trillion and 3 trillion won, even after posting record-high revenue in the first quarter, according to Park Yong-in, head of the System LSI team.

Speaking at a management briefing held today, Park acknowledged that shifting market dynamics and weakening demand have made it virtually impossible to avoid red ink for the remainder of the year. Despite the grim outlook, he outlined an aggressive push to land sensor orders from top-tier clients, accelerate custom SoC projects, and build out a broader product portfolio aimed at laying the groundwork for future growth.

Park was candid about the challenges ahead, noting that the SoC business is unlikely to turn a profit in the near term and that the team is actively exploring ways to improve its financial performance.

On the in-house chip front, Samsung says development of the next-generation Exynos 2700 is on track and is slated to power the Galaxy S27 lineup, expected to launch early next year. The new processor integrates non-terrestrial network (NTN) connectivity, a feature that has already drawn positive market attention. That momentum follows the successful rollout of the Exynos 2600 in the S26 series, which helped reinforce Samsung’s chip credibility.

Beyond mobile, the System LSI unit is expanding sensor applications across a wider range of use cases and making inroads into AI data centers, display driver ICs (DDI), and power management ICs (PMIC) — all seen as high-potential growth areas.

The division is also undergoing a modest workforce reshuffle. Headcount has slipped from 78,699 to 78,064 — a net reduction of 635 employees — reflecting broader structural adjustments within the business.

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