Samsung's semiconductor business faced significant challenges in the second quarter of 2025, with the Device Solutions (DS) division reporting a steep profit decline to just KRW 400 billion. This marked a nearly 94% year-on-year drop and a significant underperformance compared to the KRW 6.5 trillion recorded in the same quarter of the previous year. The poor performance was attributed to US export controls on China and inventory adjustments, making this quarter the worst for Samsung's chip division in nearly six quarters. To address this situation, Samsung intends to ramp up investments in Artificial Intelligence (AI), aiming to achieve a turnaround by the end of the year.