Chip war cannon fodder surfaced! Samsung Semiconductor lost 13 trillion yuan and froze executive salaries
As the saying goes, the battle between the immortals is a disaster. Even if the United States imposes technological restrictions on China, it will not be able to crush China's semiconductor companies. Cannon fodder for the chip wars is here! Huge losses of 13 trillion, top salaries were frozen, and Samsung was on the verge of collapse.
On January 31, Samsung finally announced its financial results for the fourth quarter of 2022, with a total profit of 282 trillion won, a year-on-year increase of **344%。According to the final audit results, Samsung's net profit for the full year of 2022 was 6567 trillion won, down 84 percent year-on-year86%。And all thanks to Samsung.
In the last month of the year, Samsung's total revenue reached 2169 trillion, but there was 218 trillion losses, not profits. Samsung is also aware of the problems it faces in the semiconductor industry, and does not expect to make any money, only thinking that it will lose 17 trillion yuan, but I didn't expect it to be exceeded.
China used to be South Korea's largest chip market, accounting for 60% of global exports. However, due to the U.S. enacted export restrictions to Chinese technology companies, South Korea was forced to follow the U.S. lead and withdraw from production lines in China.
But after withdrawing from the Chinese market, South Korea has struggled to find so many consumers, and the United States has promised that if Samsung can build a factory in the United States, it will get a whopping 50 billion yuan. But in the end, Samsung didn't swallow the pie.
To make matters worse, a court in Texas charged Samsung with infringing Samsung's patents and claimed $400 million from Samsung. I didn't catch a single piece of meat, and I was beaten. Under such circumstances, the life of Samsung Group is not easy.
In this situation, Samsung has also considered re-occupying the Chinese market. However, with pressure from the United States, Samsung has nothing to do about it. These chips, which are stored in warehouses, will become scrap if they can't.
Once China begins to develop its own chips, it will be difficult for South Korea's Samsung to take back its share from them, even if the United States does not export them. Just like Samsung, there is no Samsung in the Chinese market.
In this situation, if Samsung does not make some responses, the losses will continue to increase, and eventually the entire group will be dragged down. According to South Korea**, Samsung's senior executives have decided to reform the pay of their senior executives in 2024.
Samsung said its executives now largely agreed. This is an extraordinary moment and we have to have a special initiative. However, Samsung's development has reached the point of no return, and it is impossible to save Samsung by laying off employees alone.
In fact, this is not the first time that Samsung has reacted in this way. Due to the impact of the global financial crisis, Samsung stopped paying its managers in FY2009. Even in 2015, the company adopted this method in the face of losses.
But this time is different, Samsung chips are not irreplaceable. Before the U.S. banned Chinese exports, many local companies felt that it was better to produce than to buy, and they felt that they were not spending that much money on chips at all.
However, when this restriction was released, those who had such thoughts suddenly felt a chill behind them: I came here some time ago, maybe when I will come again? This has brought Chinese companies that are still struggling back to product development.
Although the quality of the chips produced by many semiconductor companies in Huaguo is not as good as Samsung's, they can ensure their own ** chain, which is also the most critical place for a company. With this mentality, it will be difficult for Samsung to turn things around.
In the dispute between China and the United States, South Korea is undoubtedly the biggest victim. South Korea has four major industries, and these four industries are the largest markets in China. Not only semiconductors, automobiles, shipbuilding, screens, Huaguo is also catching up.
Now our country has not yet formed a strong brand, but it is only a matter of time. Once China has its own brand, this huge industry will kick in, trampling South Korea under its feet.
Our country has always been a peace-loving country and has never provoked or attacked any organization. But since others want to force us, then we can only resist. However, whether others can take this riposte or not is not within our consideration.
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