- Samsung says it is not interested in spinning off its contract chip manufacturing business.
- Chairperson Jay Y. Lee says they want to grow the business.
- Analysts say the company’s chip manufacturing business is losing billions annually.
Despite its desire to overtake TSMC as the world’s leading contract chipmaker, Samsung has had difficulty finding financial success with its chip manufacturing businesses. Analysts claim that Samsung’s chip operations are dragging down the company’s overall performance, as it loses billions annually. Regardless of these losses, Samsung says it won’t be spinning off its contract or logic chip businesses.
Samsung is the largest memory chipmaker in the world, but it has also been expanding into the logic chip design and contract chip space to lessen its reliance on memory chips. Since expanding into these areas, the tech giant has invested billions of dollars into building new plants. However, not everything appears to be going according to plan.