Science & Technology · 4 Beginner · October 8, 2026

Samsung Makes Record Profits from AI Chips

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Vocabulary

memory chips ˈmɛməri tʃɪps noun phrase

small electronic components that store data and information in computers and devices

Many companies want to buy Samsung's memory chips for their artificial intelligence projects.

artificial intelligence ˌɑrtəˈfɪʃəl ɪnˈtɛlɪdʒəns noun phrase

computer software that can learn from information and make decisions like a human brain

Artificial intelligence is computer software that learns and thinks.

profits ˈprɑfɪts noun

money that a company earns after paying its costs and expenses

Samsung's profits are very high this year because many companies need their chips.

spending billions of dollars ˈspɛndɪŋ ˈbɪljənz əv ˈdɑlərz verb phrase

using very large amounts of money, where a billion equals one thousand million

Google, Amazon, and Meta are spending billions of dollars on AI projects.

chip factories tʃɪp ˈfæktəriz noun phrase

buildings where computer chips are designed and manufactured

South Korea is spending eight hundred eighty billion dollars on new chip factories.

chip makers tʃɪp ˈmeɪkərz noun phrase

companies that produce and sell computer chips and electronic components

This is good news for Samsung and other chip makers around the world.

Article

Samsung is a large technology company from South Korea. The company makes computer chips and smartphones. Right now, many companies want to buy Samsung's memory chips. These chips are used for artificial intelligence. Artificial intelligence is computer software that learns and thinks. Samsung's profits are very high this year.

Why Are Profits So High?

Companies around the world need memory chips for artificial intelligence projects. Google, Amazon, and Meta are spending billions of dollars on AI. They all need Samsung's chips to power their work. Samsung also sells Galaxy Fold phones. These phones came out in August. The new phones help Samsung make even more money. Profits jumped to eighty billion dollars in three months.

More Companies Want Chips

Other countries see Samsung's success with chips. South Korea is spending eight hundred eighty billion dollars on new chip factories. Japan, China, and Taiwan are also building new factories. They all want to make more chips. The world needs many more chips for artificial intelligence. This is good news for Samsung and other chip makers.

Discussion Questions

What does Samsung make?
Why do companies want to buy Samsung's memory chips?
How much money did Samsung make in three months?
Which countries are building new chip factories?
Do you think more people will want artificial intelligence in the future?

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