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Ahmad al-Sharaa  ·  2026-07-30 00:00

Samsung expects semiconductor shortage to continue until 2028

Seoul, July 30 (SANA)– Samsung Electronics said Thursday that the global semiconductor supply shortage is expected to continue through 2028, driven by strong demand linked toartificial intelligence technologiesand data center expansion.Jaejune Kim, executive vice president ofSamsung’s memory division, said the shortage is expected to become more severe in 2027 before continuing into 2028.Kim said Samsung has signed long-term supply agreements with five major data center operators and is holding talks with additional customers. He added that the contracts are expected to extend for at least five years and account for 60 to 70 percent of the company’s production capacity in the long term.

The agreements include upfront payments and minimum price guarantees aimed at reducing risks associated with large-scale investments in chip production, Kim said.Ryu Young-ho, a senior analyst at NH Investment & Securities, said Samsung’s remarks during the analyst conference call exceeded expectations, describing the briefing as among the company’s strongest in recent years.