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Samsung’s Tesla Order Fuels Recovery Bets Despite Chip Woes

Samsung is expected to give more details on the Tesla deal and the outlook for the second half of the year on Thursday. — Samsung is expected to give more details on the Tesla deal and the outlook for the second half of the year on Thursday.
Photographer: David Paul Morris/Bloomberg

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By Sangmi Cha

July 30, 2025 at 1:55 AM UTC

Updated on

July 30, 2025 at 6:41 AM UTC

Samsung Electronics Co.’s surprise $16.5 billion chipmaking deal with Tesla Inc. has breathed new life into a foundry business all but written off by many investors.

Its stock has risen about 10% since news about the agreement on Monday, bringing Samsung’s gains in July to over 20% and putting the stock on track for its best month in over two decades. Samsung accounted for more than half of July’s gains in Korea’s stock benchmark Kospi, underscoring growing investor enthusiasm.