Samsung's System LSI Business Transforms, Targets AI Data Center Chip Market - 매일경제

Samsung Electronics has announced a strategic shift in its System LSI business, prioritizing profitability amid record quarterly sales in Q1. Despite strong performance, the company expects continued ... Read original →

Samsung’s pivot of its System LSI division toward AI data centers reflects a strategic retreat from saturated mobile SoC markets. Technically, the Exynos 2700 and non-terrestrial network SoCs will drive demand for advanced packaging and ultra-efficient PMICs, indirectly accelerating RISC-V adoption and in-house HBM-PHY IP development. Regulatory risks loom: while South Korea’s AI infrastructure subsidies offer short-term relief, heavy reliance on U.S.-controlled IP (e.g., Arm) exposes Samsung to secondary sanctions amid U.S.-China tech decoupling. Competitively, NVIDIA and AMD will likely fortify software moats to block Samsung’s hardware entry, while SK hynix may leverage HBM co-optimization to dominate joint solutions. Within 18 months, without breakthroughs in chiplet interconnect standards or performance-per-watt metrics, Samsung’s AI chips risk becoming mere foundry add-ons—ironically reinforcing TSMC’s CoWoS pricing power.