Samsung Electronics Q4 Profit Triples on AI Memory Prices—Why Jobs Are Now at Risk

Samsung's Q4 profit of 2025 is forecasted to reach a record high in the KRW (South Korean won) 20 trillion (£13.8 trillion) range, triple that of the previous year's fourth quarter, marking the South Korean company's largest quarterly performance to date. The spike is reportedly powered by an artificial intelligence (AI) component price surge.

The £13.8 trillion operating profit for the October-December period surpassed Samsung's record of 17.6 trillion won (£9 trillion) in Q3 of 2018. Global leader in chipmaking, Samsung Electronics' over 200% increase in its consolidated operating profit is due to the impact of the burgeoning AI memory market, per Reuters.

The announcement, published by Samsung Newsroom, also presented their consolidated operating profit in Q3 of 2025 in the 12.17 trillion won (£6.2 trillion) range. For the tech giant, this financial milestone is a test case for how the industry's shift towards AI infrastructure demand may result in affecting jobs, production, and the electronics market's supply chain.

TrendForce reports that DDR5 RAM chips are in short supply, forecasting a price increase of over 60% in the first quarter of 2026. Avril Wu, TrendForce analyst, said, 'As conventional DRAM prices continue to surge, Samsung – whose production capacity is largely concentrated in this segment – stands to gain relatively more from the current price upcycle.'

Samsung Workers Affected

Though the increasing profits signal an economic boom for Samsung, particularly its semiconductor division, the implications for workers and their jobs seem a bit multifaceted. It may result in Samsung expanding its workforce, particularly in design, manufacturing, logistics, and even deciding to hire more engineers and supply-chain specialists in line with the growth of its AI memory division.

On the other hand, this type of expansion may not be balanced within the company. Samsung may have diverted more capacity towards high-value chips, which are frequently manufactured in highly automated facilities that require less workforce.

A Channel News Asia exclusive states that older production lines may face further reductions as specialised operations expand. The automation trend signals a wider shift within the semiconductor industry where the production of AI-optimised chips and the like relies on advanced processes that require less labour intensity and greater technical skills.

Analysts remain cautiously optimistic that demand for DRAM will remain strong, with some forecasts predicting elevated prices through 2027, driven by AI deployment and the expansion of data centre infrastructure.

CLSA Securities Korea Head Sanjeev Rana said in an exclusive by The Malaysian Reserve, 'Hyperscalers and cloud providers are buying a lot of DRAM, and they are willing to pay a price premium. Even after that, we may not see much correction because demand is just too strong and supply is tight.'

Looking Ahead

The record-breaking Q4 profit is central to industry transformation. AI memory demand and the steep rise in chip prices highlight how quickly the landscape is shifting, including its potential impact on jobs and the global technology infrastructure.

The profit boom opens opportunities in AI hardware development, but also effects changes in labour, with expert-level skills favoured over the rest. Ultimately, Samsung's Q4 predictions and the results are a snapshot of how AI is reshaping economics and technology- particularly in the labour sector.