Samsung hits $1T valuation on AI-driven chip demand

Samsung Electronics has crossed a rare milestone, hitting a $1 trillion market valuation as demand for chips used in artificial intelligence surges. The stock rose as much as 15% in a single session, signaling renewed investor confidence in the company and in Asia’s pivotal role in the AI chip ecosystem. Samsung becomes only the second Asian firm to join the $1 trillion club after TSMC, underscoring a broader shift in the region’s tech leadership.

The milestone helped push South Korea’s Kospi index above 7,400, reflecting how big tech names are driving the market. Samsung sits at the center of a trio that includes SK Hynix and TSMC, and together they are fueling Asia’s rise as a key hub for data infrastructure, chip manufacturing, and the AI economy. The rally comes as demand for AI-focused data centers and advanced memory products remains strong, supported by expanding data networks and cloud investments.

In the March quarter, Samsung’s semiconductor division posted a sharp rise in profitability, with earnings jumping 48-fold year over year, helped by higher ASPs and improved margins from AI-oriented customers. The company cited solid momentum in memory and system LSI products, as well as better efficiency across its manufacturing lines.

Separately, Apple reportedly held exploratory talks about using Samsung to manufacture processors for its devices in the United States, a potential development that could diversify Apple’s supply chain away from TSMC. If pursued, it would reinforce Samsung’s position as a major supplier to major tech players and could influence flexibilities and capex in the global chip market.

Overall, AI demand is continuing to power chipmakers and reinforce Asia’s central role in the global tech economy, with Samsung’s rise illustrating how memory kings are shaping the AI era.

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