Samsung’s Non-Memory Chip Business Could Turn Profitable in 2026

Samsung’s non-memory chip business may finally be on the way to securing profitability. Market forecasts suggest the division could post an operating profit of around KRW 600 billion in 2026. If this pans out, it will be a major turnaround for the Korean firm in this space after years of losses and heavy investment.

Exynos 2600, Tesla deal could boost Samsung’s non-memory chip profits

Samsung’s non-memory chip business includes mainly two business arms: Foundry (chip manufacturing unit) and System LSI (design logic chips). While the Korean firm is the global leader in memory chips, its non-memory segment has faced setbacks in recent years. This is mainly likely due to low yields on advanced manufacturing processes and intense competition from industry leader and arch-rival TSMC.

However, the global semiconductor market is now entering a new phase of growth, creating fresh opportunities for Chimpakers to generate more revenue. According to Mirae Asset Securities (via Jukan), Samsung’s non-memory chip business could see an operating profit of about KRW 600 billion this year. Meanwhile, Daishin Securities expects the company to make a profit of KRW 37 billion in the third quarter of next year.

So what is driving this potential turnaround? Analysts reportedly noted that mass production of the Exynos 2600 processor and additional customer wins in the foundry business will play a key role. Exynos 2600 is Samsung’s latest flagship mobile processor based on its cutting-edge 2nm Gate-All-Around (GAA) process. The chip has already entered mass production and may power some units of the Galaxy S26 series, depending on the region.

Furthermore, Samsung’s foundry unit continues to work on attracting more external customers. Last year, the company inked a $16.5 billion contract to make next-generation chips for Tesla. Speaking of overall profit, a previous report suggested the Korean firm could see an operating profit of around $66 billion in 2026, all thanks to the recent rise in memory prices.