Roh Tae-moon, head of the DX Division 사진 확대 Roh Tae-moon, head of the DX Division
Samsung Electronics said it would use worsening profitability in its Device eXperience (DX) Division, driven by rising memory semiconductor prices, as an opportunity to expand market share. As for complaints from DX Division employees over the widening gap in bonuses with the Device Solutions Division, the company drew a clear line, saying DX and DS are “two companies under one roof.”

On the 19th, Samsung Electronics held a management briefing for employees at its Suwon Plant (HQ), led by CEO and DX Division head Roh Tae-moon. The company explained that first-half sales in the DX Division rose about 2% from a year earlier, but operating profit fell sharply because memory prices jumped more than fourfold from last year.

Roh said that as long as memory prices keep rising, the MX Division, which handles smartphones, will have a hard time escaping losses for the time being. He explained that, with the high-cost structure caused by “chipflation” affecting competitors in the same way, Samsung plans to boost market share by expanding sales of the Samsung Galaxy S26 and Galaxy Z Fold 8 series.

The company also explained the origins of its division-based structure, which separates finished products from components, and said it would not be able to provide additional compensation despite complaints from DX Division employees over differences in bonuses.

Samsung Electronics’ DX Division also announced that it will invest 240 billion won to build a new HVAC production line at its Jeonnam-Gwangju plant. The line will produce a range of air-conditioning products used in data centers and large buildings, including the Coolant Distribution Unit (CDU), a key component in liquid-cooling systems for AI data centers.

[Lee Deok-ju / Park Yoon-ye]

This article has been translated by GripLabs Mingo AI.

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