Samsung warns that the shortage of AI chips will intensify in 2027 after its entire HBM production for next year was contracted

Samsung warns that the shortage of chips for artificial intelligence will intensify in 2027 as demand for HBM memory exceeds global production capacity. The South Korean company announced that its entire HBM production for next year has already been contracted, while customers are requesting additional quantities.

The warning comes after a record quarter for Samsung. Between July and September 2026, the group reported an operating profit of 107.4 trillion won, compared with 12.2 trillion won in the same period of 2025. The semiconductor division generated 106.5 trillion won, supported by demand for components used in data centers and AI accelerators.

Samsung estimates that the market will remain tight through 2028, as expanding capacity requires huge investments and years of development. The company increased its investment in chips by 62% in 2026, to 76.8 trillion won.

Despite the financial results, Samsung shares fell by as much as 6.2%, with investors viewing the forecasts as more cautious than those of rival SK Hynix. Samsung is also preparing for mass production at its factory in Taylor, Texas, where it will manufacture chips for Tesla, as well as developing 2-nanometer technology.