Samsung has announced a preliminary figure that could make history: 107.4 trillion won, or around 80.2 billion dollars in operating profit for the third quarter of 2026. That would represent an almost eightfold increase from the same period a year earlier, with revenue expected to reach approximately 195 trillion won. Full results are due on 29 October, so this is not yet confirmed net profit but a preliminary estimate from Samsung Electronics.
The main driver is not simply the success of smartphones and consumer electronics. It is global demand for semiconductors used in artificial intelligence, particularly high-performance memory for servers and data centres. The result offers a wider view of the technology industry’s transformation: from Samsung’s rivalry with Apple in consumer devices to competition with Nvidia, SK Hynix and TSMC across the semiconductor supply chain, as well as new industrial partnerships that could shape the market in the years ahead.
Contents
Samsung’s Record Earnings and the Semiconductor Boom
The scale of the result becomes clearer when compared with previous financial statements. In 2025, Samsung Electronics reported annual revenue of 333.6 trillion won and operating profit of 43.6 trillion won. In the final quarter of that year, revenue had already reached a record 93.8 trillion won, while operating profit stood at 20.1 trillion won. If confirmed, the projected third-quarter 2026 figure would exceed the company’s operating profit for the whole of the previous year in a single quarter.
The main explanation lies in Device Solutions, the division responsible for semiconductors. The expansion of AI systems requires huge volumes of memory and components capable of moving data at high speeds, pushing up both demand and prices. Samsung produces DRAM and NAND memory and is working to strengthen its position in high-bandwidth memory, or HBM, which is essential for AI accelerators and servers. The advantage is not guaranteed, however: the sector remains exposed to price cycles, investment costs and the need to maintain a technological edge.
Samsung vs Apple, Nvidia and Other Technology Giants
A comparison with Apple shows why financial measures matter. For the fiscal quarter ended 27 June 2026, the US company reported revenue of 109.4 billion dollars and net profit of 29.8 billion dollars. Samsung’s preliminary quarterly estimate is much higher than Apple’s net profit, but directly comparing an estimated operating profit with a final net profit would be misleading. Apple nevertheless remains one of Samsung’s strongest rivals in premium smartphones, thanks to the integration of the iPhone, software, services and a wider device ecosystem.
Nvidia occupies a different but equally important position: it leads the market for AI processors, while Samsung focuses heavily on memory and other components. In the second quarter of fiscal 2027, ended 26 July 2026, Nvidia reported revenue of $96.2 billion, including $89 billion from data centres. In the memory market, SK Hynix is a major rival to Samsung, while TSMC remains central to the manufacturing of chips designed by companies such as Apple and Nvidia. The comparison shows that this is not simply a contest between smartphone makers. It is a competition across an entire industrial chain, from chip design to semiconductor manufacturing.
Smartphones, TVs and Global Markets: Where Samsung Leads
In smartphones, Samsung regained first place worldwide in the third quarter of 2026, according to preliminary estimates from Counterpoint Research. The company reportedly captured 23% of global shipments, ahead of Apple at 22%, despite a 3% year-on-year decline in its own shipments. The overall market, however, contracted by 20% year on year, its worst third quarter since 2012, as memory shortages and rising component prices hit the industry. These figures measure shipments rather than actual consumer purchases and may be revised.
Samsung also holds a strong position in another strategic category: televisions. According to Omdia data reported by the company, Samsung accounted for 29.1% of the global TV market by value in 2025, extending its leadership to a twentieth consecutive year. Its share rose to 54.3% in the segment of televisions priced above 2,500 dollars. These results highlight the strength of a portfolio ranging from Galaxy smartphones to screens and home appliances. They do not mean Samsung dominates every geographical market or product category, however: competition from Apple, Chinese manufacturers and specialist brands remains intense.
Strategic Partnerships: Broadcom and Tesla
To support its semiconductor ambitions, Samsung is expanding cooperation with other technology companies. In July 2026, it announced a memorandum of understanding with Broadcom to expand collaboration in memory, chip manufacturing and advanced packaging, with an expected value of more than 200 billion dollars over five years through 2030. This is an estimate of the planned collaboration, not revenue already received or a fully executed contract. The agreement aims to strengthen Samsung’s role in AI infrastructure and improve its competitiveness in contract chip manufacturing.
Another significant agreement is with Tesla, which confirmed a 16.5 billion dollars chip-manufacturing deal in 2025. The partnership forms part of Samsung’s strategy to expand its foundry business, manufacturing semiconductors designed by external customers. This is a segment in which the South Korean company still faces TSMC’s dominant position. Partnerships can secure orders and improve visibility over future revenue, but their success depends on delivering the required technology on time and at competitive cost.
How Long Can the Boom Last? Growth Opportunities and Risks
Samsung’s growth reflects a structural shift in the digital economy, but record profits cannot be assumed to continue indefinitely. AI-related memory demand is supporting prices and investment, yet a slowdown in data-centre spending, new competitors or an increase in supply could put pressure on margins. A stronger Korean won and the cost of building new factories may also affect profitability. Investors are therefore looking not only at the scale of one quarter’s results, but at whether those earnings can be sustained.
Samsung’s real challenge is to turn its current advantage into a lasting position across several segments: advanced memory, contract chip manufacturing, premium smartphones and AI-enabled devices. The company has the industrial scale to compete on multiple fronts, but it faces specialised rivals and increasingly concentrated markets. The 80 billion dollars figure is therefore more than an accounting milestone: it illustrates the growing weight of AI in the global economy and the central role of semiconductors in the strategies of the world’s biggest technology companies.
