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Samsung expects smartphone demand to drive second half earnings

  • 📰 Reuters
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  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 17%
  • Publisher: 97%

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Samsung Electronics Co Ltd expects a global recovery in demand for smartphones and consumer electronics to underpin profits in the second half of the year, after a coronavirus-propelled shift to online working boosted quarterly earnings.

FILE PHOTO: A woman wearing a protective face mask uses her mobile phone as she walks past a Samsung brand store in central Kyiv, Ukraine July 9, 2020. REUTERS/Valentyn Ogirenko/File Photo

Prices for the chips, which create temporary workspaces to allow devices to multitask, spiked in the second quarter as people shifted to working and learning online from home because of the pandemic. Samsung’s Korean peer SK Hynix and U.S. firm Micron Technology Inc also benefited from the trend. Still, Samsung and other Asian tech companies in the global supply chain have been rocked by trade tensions between the United States and China that has put cross-border trade in components, devices and technology at the mercy of politics.

SK Hynix and some analysts have painted a more downbeat outlook, expectating a fall in DRAM chip prices.

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