The rise of China's memory chip industry has led to a decline in Samsung's memory and flash memory market share
Samsung announced its 2023 results some time ago, and it expects revenue in 2023 to drop by about 15% to about 25816 trillion won. Operating profit is expected to be around 654 trillion won, down 85% from the previous year.
According to data released by Samsung, Samsung will lose between 75 billion and 80 billion yuan in the fourth quarter of 2023.
If they hadn't lost a lot of money on memory chips, they would have earned more than $110 billion even with zero profits.
It's clear that Samsung is making money from other activities to fill the gap in memory chips.
Samsung, the world's largest memory chip manufacturer, with about 40% of the global memory and NAND flash memory market share, why is it losing so much?
This is all thanks to the fact that Chinese memory chips have broken the monopoly of companies such as Samsung, SK hynix, and Micron, as well as the decline of the chip market.
As can be seen from this graph, 95% of the share of the world market is monopolized by the top five companies, that is, these five companies have monopolized the market, and if these five companies join forces, companies in the downstream market will have no choice but to accept this**.
But by 2023, the situation will change, Chinese memory chip manufacturers will rise, and YMTC and Changxin Storage will seize a considerable market share, while also breaking the ** monopoly and becoming the world's biggest competitor.
That's why DRAM and NAND flash** have declined over the past year, especially in the domestic market.
Coupled with the fact that 2023 is a negative cycle for the chip industry, and the monopoly of Changsheng and Changxin is broken, it has led to DRAM and NAND flash memory***
As a result, giants such as Samsung, SK hynix, and Micron will lose a lot in 2023: Samsung lost nearly 80 billion yuan, and Micron and SK hynix lost about 80 billion yuan, for a total loss of 150 billion yuan.
However, by 2024, the **** of these potato chips will be **synchronized** with the ** of potato chips, which are already **20%** and could be **50% by 2024.
I don't know if domestic storage device manufacturers will be able to offer better, better products, and higher productivity to stop these international brands from making their best moves.