Samsung’s revenue streams are not solely reliant on its smartphone business, as the company also generates significant income from its chip business. Nevertheless, the chip business has experienced a decline in performance over the last few quarters, prompting the company to conduct an analysis of potential mistakes and implement improvements.

In particular, the chip division, including non-memory products, has reported a decline in profits over the past few years. It is reported that Samsung incurred an operating loss of 4 to 5 trillion won in the semiconductor sector last year.

Initially, Samsung’s semiconductor business showed promise, with the company continuously gaining market share in the chip segment. In 2019, the company set a goal to invest 171 trillion won by 2030 to become the world’s top semiconductor manufacturer. However, due to existing problems, the company has yet to achieve its desired objectives.

According to a report, Samsung’s market share decreased from 19.1% in Q1 2019 to 8.2% in Q4 2024. Moreover, the company has lost significant market share in the camera business, which now stands at less than 20%.

Reports indicate that Samsung Electronics is conducting a management diagnosis of its LSI division, which will be carried out by the company’s own global research team. The purpose of this diagnosis is to identify key problems and develop strategies to address them.

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