Samsung Hit by Historic Profit Fall, Spurring Capex Cut Hope
- World’s biggest memory maker fighting dour forecasts
- Consumers, businesses have cut back tech spending dramatically
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Samsung Electronics Co.’s profit dropped by the most in over a decade, in a sign that the global economic slowdown may be hurting electronics demand even more than anticipated.
South Korea’s largest company has been grappling with weak demand for memory chips, smartphones and displays as consumers tamp down holiday spending amid soaring interest rates and inflation. Adding to demand woes, Apple Inc., one of Samsung’s biggest customers for displays and memory chips, suffered production delays at its iPhone assembly complex in the Chinese city of Zhengzhou.