Stocks Dip as TSMC and Samsung Embrace AI at Key Trade Show
TSMC and Samsung executives are still optimistic about AI's growth potential. Despite optimistic AI forecasts, market volatility has an impact on TSMC and Samsung stock prices. The AI sector faces investor caution, which influences market dynamics.
Despite their stocks' decline, the executives remained optimistic about AI's future prospects.
TSMC, the world's largest contract chipmaker, fell up to 5.5%, while Samsung Electronics, known for memory chip production, closed 3.5% lower. The market downturn came after a significant sell-off of AI stocks overnight, indicating a shift in investor sentiment towards the AI sector and US economic growth.
Addressing the Semicon Taiwan industry forum in Taipei, Y.J. Mii, TSMC's Executive Vice President and Co-Chief Operating Officer, emphasised AI as a key growth driver, recognising its potential to reshape global job landscapes. Mii expressed confidence in AI's vast opportunities for industry players, forecasting a 50% compound annual growth rate in the AI accelerator segment over the next few years.
Sharing the stage, Lee Jung-Bae, president of Samsung Electronics' memory chip business, echoed Mii's sentiments, emphasising that the journey with AI was only beginning and that there might be challenges along the way. Jung-Bae expressed his belief in artificial intelligence's transformative impact on daily life, while remaining cautiously optimistic about its future role in revolutionising human experiences.
Samsung recently reported its highest operating profit since the third quarter of 2022, owing to a resurgence in its chip division, a key revenue source following a period of weak demand for chip-based devices following the pandemic. Similarly, TSMC raised its full-year revenue forecast due to rising demand for AI chips.
TSMC and Samsung executives remain optimistic about AI's growth potential.
Market turbulence impacts TSMC and Samsung stock prices despite positive outlooks on AI.
AI sector experiences investor caution, influencing market dynamics.
Source: REUTERS