Journalist

김혜준
Candice Kim
  • Samsung shares head north on record R&D, buyback plan in AI chip push
    Samsung shares head north on record R&D, buyback plan in AI chip push SEOUL, March 11 (AJP) - Shares of Samsung Electronics headed north as investors welcomed the South Korean tech behemoth’s record spending — amounting to nearly a third of last year’s revenue of over $200 billion — to advance chipmaking capabilities in the AI-driven era while sharing the memory boom with shareholders. According to its 2025 business report disclosed Tuesday, the company invested a record 37.7 trillion won ($28.3 billion) in research and development last year and set aside 16 trillion won to retire around 87 million treasury shares during the first half. As of 10:00 a.m. Wednesday, shares were up 2.55 percent at 192,500. The 2025 R&D spending marked a 7.8 percent increase from 2024, while capital expenditure on semiconductor and display facilities rose to 52.7 trillion won, about 5 trillion won more than initially planned. Samsung said the massive investment was aimed at preemptively addressing demand for next-generation semiconductors such as High Bandwidth Memory (HBM) and high-capacity DDR5, key components powering artificial intelligence data centers. The company recently began mass production of HBM4 base dies and plans to expand supply of HBM4 this year to meet surging demand from major global technology firms. Notably, Alphabet has joined Samsung’s top five customers amid the rapid expansion of AI infrastructure investments by big tech companies. Samsung also reported strong financial performance last year. Annual revenue reached 333.61 trillion won, up 10.9 percent from a year earlier, while operating profit jumped 33.2 percent to 43.6 trillion won. Revenue exceeded 330 trillion won for the first time, marking the company’s highest annual sales on record. Shareholder returns are also being strengthened. Samsung plans to cancel about 87 million treasury shares, valued at roughly 16 trillion won based on the March 10 closing price, as part of efforts to enhance shareholder value. The semiconductor recovery and improved earnings also lifted employee compensation. The average annual salary rose 21.5 percent to a record 158 million won last year, compared with 130 million won in 2024. To promote longer-term performance-based management, the company granted 35.29 million performance share units (PSUs) to around 128,000 employees. As of the end of last year, Samsung’s domestic workforce stood at 128,881, with the average tenure rising to 13.7 years. The company said it plans to continue creating jobs for young people through its traditional open recruitment program in the first half of the year. 2026-03-11 11:11:40
  • Middle East conflict squeezes Korean chip supply chain as helium shipments face disruption
    Middle East conflict squeezes Korean chip supply chain as helium shipments face disruption SEOUL, March 10 (AJP) - The widening Middle East conflict is beginning to bite into South Korea’s industrial supply chains, with the semiconductor sector facing growing concern over disruptions to helium shipments — a critical gas used in advanced chip manufacturing. The de facto disruption of shipping routes through the Persian Gulf has hit South Korea particularly hard given the country’s heavy reliance on Middle Eastern energy and industrial materials that feed its export-driven manufacturing base, including the strategically vital semiconductor industry. Industry attention has turned especially to Qatar, a major global supplier of helium, after Iranian retaliatory strikes spread across Gulf states following coordinated U.S. and Israeli attacks on Iran. Helium, a noble gas with an extremely low boiling point, is indispensable in semiconductor fabrication. It is widely used in lithography and plasma etching processes to maintain stable vacuum environments and cool high-temperature equipment during wafer processing, where microscopic circuit patterns are etched to form transistors and interconnects. Any interruption in supply therefore risks creating a bottleneck in the production of advanced chips. According to a Korea International Trade Association (KITA) report, Qatar accounts for roughly 64 percent of South Korea’s helium imports, highlighting the sector’s exposure to geopolitical shocks in the Gulf region. Other major suppliers include the United States and Russia, while the United Arab Emirates — another Gulf producer that has also come under attack — ranks fourth in Korea’s import mix, according to trade data compiled by Volza. Helium is typically transported in liquid form, which allows large volumes to be shipped efficiently before being vaporized upon arrival for industrial use. Shipping disruptions are already pushing up transport costs. The Shanghai Containerized Freight Index (SCFI) for Middle East routes jumped 72.3 percent week-on-week, according to the Shanghai Shipping Exchange, as vessels increasingly divert around the Cape of Good Hope to avoid the conflict zone. Such detours add two to three weeks to delivery times, raising the risk that chipmakers’ stockpiles could be drawn down faster than expected. “Temporary shortages are likely because alternative suppliers currently lack the capacity to immediately offset Qatar’s dominant share,” said Koo Gi-bo, a professor of global commerce at Soongsil University. “South Korea will need to rely on existing reserves while expanding imports from other regions.” Industry sources say Samsung Electronics and SK hynix typically maintain helium inventories sufficient for two to three months of operations. Both companies have already begun securing additional supplies from the United States and Australia, though rerouting shipments comes with sharply higher logistics costs. Yet analysts note that South Korea’s position at the center of the global semiconductor ecosystem could work to its advantage in securing alternative supplies. “The United States has a strategic interest in ensuring helium shipments to South Korea remain stable,” Koo said. “Without Korean high-bandwidth memory (HBM) chips, U.S. companies cannot manufacture advanced AI accelerators. Any disruption to Korean fabs would ripple across the global AI industry.” As fighting in the Middle East threatens vital shipping lanes, the episode is once again exposing a structural vulnerability in South Korea’s export economy — its dependence on imported energy and specialized industrial gases that underpin the world’s semiconductor supply chain. 2026-03-10 16:56:24
  • S.Korean fuel prices surge on Hormuz blockade, bypassing standard physical lag
    S.Korean fuel prices surge on Hormuz blockade, bypassing standard physical lag SEOUL, March 07 (AJP) - South Korean retail fuel prices have surged immediately following the blockade of the Strait of Hormuz, bypassing the standard two-to-three-week lag typically required for global crude fluctuations to reach domestic pumps. As of Saturday, the national average gasoline price reached 1,871.83 won ($1.39) per liter, up 178.94 won ($0.13) from Feb. 28, according to the Korea National Oil Corp (KNOC). Diesel prices outpaced gasoline, hitting 1,887.38 won per liter, raising concerns over an increase in broader logistics and transportation costs. The rapid hikes follow the escalating conflict involving the U.S., Israel, and Iran, which has disrupted transit through the Strait of Hormuz. South Korea relies on the Middle East for over 70 percent of its crude imports. Local refiners and gas stations attribute the immediate price increases to a preemptive rush to secure inventory amid supply uncertainties. Industry officials maintain that reflecting replacement costs immediately helps mitigate heavier market shocks, arguing that delaying the hikes could result in steeper, sudden price spikes later. The local surge mirrors global market anxieties. West Texas Intermediate (WTI) crude has topped $90 a barrel, with market forecasts warning it could reach $100. Global inflationary pressures are further compounded by U.S. stagflation fears, following a drop of 92,000 non-farm jobs in February and a rise in the unemployment rate to 4.4 percent. In response to domestic supply concerns, KNOC received 2 million barrels of joint-reserve crude from Kuwait at its Ulsan facility on Saturday, with another 2 million barrels from the UAE expected on March 22. South Korea currently holds 102 million barrels in strategic reserves. Meanwhile, the Ministry of Trade, Industry and Energy has launched special inspections into gas stations nationwide to crack down on illegal practices, including hoarding and price gouging. 2026-03-07 16:49:35
  • EV slump hits hard: SK On slashes 37 percent of Georgia plant staff
    EV slump hits hard: SK On slashes 37 percent of Georgia plant staff SEOUL, March 07 (AJP) - SK Battery America, the U.S. unit of South Korean battery maker SK On, has laid off 37 percent of the workforce at its Georgia plant, citing slowing electric vehicle (EV) sales and a shifting market landscape. The company announced on Saturday that it cut 968 jobs out of its 2,566 employees at the manufacturing facility in Commerce, Georgia. The restructuring comes as the global EV transition loses momentum. The plant, which supplies batteries to automakers including Volkswagen and Hyundai Motor, was severely impacted by Ford Motor's recent decision to cancel production of its F-150 Lightning electric pickup truck. Ford's move follows the Trump administration's rollback of EV tax credits, prompting the U.S. automaker to pivot toward more profitable hybrid and internal combustion engine vehicles. In an emailed statement, SK Battery America called the job cuts a "difficult decision to adjust operations in line with market conditions." The company added that it remains committed to Georgia and to building a robust U.S. supply chain for advanced battery manufacturing. South Korean battery makers are facing broader headwinds as the transition from internal combustion engines to EVs decelerates in major markets like the United States. Despite the setback, parent company SK Innovation is proceeding with a second battery plant in Georgia dedicated to supplying Hyundai Motor, with production scheduled to begin in the first half of this year. Another facility in Tennessee, previously planned as a joint venture with Ford, is slated to open in 2028. A company official indicated that the Tennessee plant may supply both automotive and energy storage system (ESS) batteries. 2026-03-07 15:01:24
  • HD Hyundai Electric breaks ground on $200 mln transformer plant in US amid AI boom
    HD Hyundai Electric breaks ground on $200 mln transformer plant in US amid AI boom SEOUL, March 07 (AJP) - South Korea's HD Hyundai Electric has broken ground on a $200 million second transformer manufacturing plant in Alabama to meet surging power grid demand driven by artificial intelligence (AI) infrastructure and a resurgence in U.S. manufacturing. The power equipment maker held a groundbreaking ceremony on Saturday at its North American subsidiary in Montgomery. The new facility, spanning 48,215 square meters, is scheduled for completion in April next year. The expansion will boost the company's ultra-high-voltage transformer production capacity by 50 percent. To expedite delivery for clients such as AI data centers, which increasingly place bulk orders, the expanded facility utilizes an internal railway system that cuts transportation time by more than a week. "Through the establishment of the second plant, we will prepare for the future represented by AI by building and strengthening the U.S. transmission grid," HD Hyundai Vice Chairman Cho Seok said at the ceremony. Demand for power transformers has skyrocketed as tech companies build power-hungry data centers and the Trump administration pushes to bring manufacturing facilities back to the United States. Local politicians, including Alabama Senators Tommy Tuberville and Katie Britt, welcomed the investment via video messages, highlighting the critical role of transformers in energy policy and national security. Amid stricter U.S. immigration enforcement under the current administration, HD Hyundai Electric also emphasized its commitment to local hiring and strict visa compliance. The company plans to add about 140 local workers to its current workforce of roughly 460 once the second plant is completed. "We strictly verify immigration status during hiring and ensure all visiting staff enter with proper visas," said Kim Young-chul, Chief Operating Officer of the Montgomery plant. Since establishing its first Montgomery plant in 2011, the subsidiary's revenue has quadrupled from $100 million in 2017 to approximately $400 million in 2025. The company expects the second plant to generate an additional 200 billion won in annual sales. 2026-03-07 13:42:22
  • Hanwha Systems to sell 1.7 trillion won stake in Hanwha Ocean for defense, IT investments
    Hanwha Systems to sell 1.7 trillion won stake in Hanwha Ocean for defense, IT investments SEOUL, March 07 (AJP) - South Korea's Hanwha Systems said it will sell a 1.7 trillion won ($1.2 billion) stake in its shipbuilding affiliate Hanwha Ocean to secure funds for strategic investments in the defense and information technology sectors. The company's board on Friday approved the sale of 13.92 million shares, representing a 4.54 percent stake, at 122,100 won per share, based on Thursday's closing price. The transaction will reduce Hanwha Systems' holding in the shipbuilder to 7.03 percent from 11.57 percent. The sale amount accounts for 29.70 percent of the company's total assets and 70.35 percent of its equity capital as of the end of 2024. The shares will be sold via an off-hours block trade scheduled for April 6, with the settlement due on April 8, the company said in a regulatory filing. The deal is structured as a one-year price return swap (PRS) agreement with seven special purpose companies: The Sara First, Felix OS First, Felix OS Second, KIS ON Tenth, KIS Prime Fourth, N2 Glory First, and N2 Glory Second. Under the terms, Hanwha Systems will compensate the buyers if Hanwha Ocean's stock price falls below the benchmark price at the time of settlement. Hanwha Systems plans to use the proceeds to accelerate investments in key projects, including a South Korea-U.S. shipbuilding cooperation initiative known as MASGA (Make American Shipbuilding Great Again). 2026-03-07 10:27:14
  • Samsungs Galaxy S26 Ultra wins Best in Show at MWC 2026
    Samsung's Galaxy S26 Ultra wins 'Best in Show' at MWC 2026 SEOUL, March 05 (AJP) - Samsung Electronics' Galaxy S26 Ultra was awarded the 'Best in Show' title at the Mobile World Congress (MWC) 2026 in Barcelona, Spain, on Thursday. The award is part of the annual Global Mobile Awards hosted by the GSMA. It is widely regarded as a top honor at the exhibition, as the winner is selected by a specialized judging panel consisting of global analysts, journalists, and influencers. The accolade is given to the most innovative product leading the industry among numerous exhibits. Launched on the 26th of last month, the Galaxy S26 Ultra was recognized for integrating advanced hardware with its One UI 8.5 software to deliver enhanced artificial intelligence (AI) and privacy features. The device is powered by a dedicated Galaxy chipset designed to accelerate mobile AI experiences. Additionally, the smartphone features the world's first 'Privacy Display,' an engineering technology that protects user data without compromising screen clarity. "It is an honor for the Galaxy S26 Ultra to win 'Best in Show,' the highest exhibition product award, at this year's Global Mobile Awards," said Choi Seung-eun, Executive Vice President and Head of Marketing for Samsung's Mobile eXperience (MX) Business. "The Galaxy S26 Ultra is an agentic AI phone that concentrates Samsung Electronics' capabilities, and we will continue to drive mobile innovation that pushes technological boundaries". 2026-03-05 16:38:22
  • Korean appliance makers price in potential Middle East setback
    Korean appliance makers price in potential Middle East setback SEOUL, March 04 (AJP) - South Korean home appliance makers are bracing for potential disruption from the widening conflict in the Middle East and the choking-off of the critical shipping corridor, the Strait of Hormuz — just as the region had begun to emerge as a fresh growth market for Korean brands. The escalation has raised concerns among producers that renewed interest in Korean consumer brands across the region — fueled partly by the broader K-wave — could falter, adding another layer of uncertainty as sales momentum in other Asian markets slows. Samsung Electronics, LG Electronics and Coway say they are navigating the short-term shock through existing contingency plans, though they acknowledge that prolonged hostilities could trigger broader regional fallout. Samsung Electronics, which relies heavily on maritime shipping for bulky consumer appliances, said the immediate supply-chain impact appears less severe than initially feared. “We maintain local inventory in each region, which provides a buffer for several weeks to about a month, so we do not see immediate risks,” a Samsung Electronics official said. “Furthermore, the Strait of Hormuz is primarily an oil route. Commercial appliances often travel via the Suez Canal or the Cape of Good Hope, so the direct impact on appliance shipping does not appear massive.” The official added that while a prolonged crisis would pose global economic risks, no specific internal directives have yet been issued in response to the situation. LG Electronics, which recently established a regional headquarters in Riyadh, Saudi Arabia, to secure major B2B infrastructure contracts, said short-term project disruptions are likely to remain limited. “Currently, there appears to be no direct impact on our operations, and we do not conduct direct business in Iran,” an LG Electronics official said. “Our top priority is the safety of our employees. Personnel in the affected regions have already been evacuated to nearby areas or returned home, and no damage has been reported.” The company acknowledged that a prolonged maritime blockade could fuel broader macroeconomic pressures, particularly through surging oil prices. “However, this is a general risk affecting all companies rather than an isolated issue for our specific business,” the official added. Rental appliance maker Coway — which had recently identified the Middle East as a new growth engine — said its exposure remains limited due to its indirect market presence. “We only recently started exporting to the UAE and Saudi Arabia through local partner firms,” a Coway official said. “We do not have a direct operational footprint or our own service personnel stationed there, and our market share is currently minimal. We do not expect any significant damage from the current situation.” Still, the cautious optimism could fade if the conflict drags on beyond several weeks. Sung Il-kwang, a Middle East expert at the Euro-MENA Institute, said the escalation could mark a turning point in the region’s business climate. “In the Middle East, even conflicts occurring outside a country’s immediate vicinity can prompt businesses to delay projects because of perceived security risks,” Sung said. “But now that the conflict has reached their doorstep, many business activities have effectively come to a halt.” He warned that a prolonged war could significantly alter the operating environment for companies active in the region. “While it is unlikely that the war will persist throughout the year, the situation must be monitored closely,” Sung said. “Depending on whether the crisis becomes prolonged, the ultimate impact on business operations could be severe.” 2026-03-04 16:41:11
  • Inside MWC 2026: Korean tech titans redefine the Physical AI and data frontier
    Inside MWC 2026: Korean tech titans redefine the 'Physical AI' and data frontier SEOUL, March 04 (AJP) - South Korean telecommunications giants and global infrastructure leaders are shifting the paradigm of artificial intelligence at MWC 2026, moving beyond digital chatbots toward "Physical AI" and hyper-efficient data architectures. LG Uplus: From voice to humanoid action LG Uplus (LGU+) unveiled its vision for Physical AI, integrating its proprietary AI call agent, ixi-O, with humanoid robotics. Unlike traditional voice assistants, ixi-O is designed to understand emotional context and execute physical tasks. In a live demonstration, the AI analyzed a sudden business trip schedule during a call, automatically adjusted the user's calendar, and signaled a humanoid robot developed by A-Robot to pack a suitcase. CEO Hong Beom-sik emphasized that voice is the "most human connection," predicting a future where AI agents transition from simple command-following to autonomous environmental interaction. SK Telecom: Structural innovation in AI data centers SK Telecom (SKT) is tackling the infrastructure bottlenecks of the AI era through a two-track strategy focusing on "construction" and "connectivity". The company signed a tripartite MOU with Supermicro and Schneider Electric to secure "Pre-fabricated Modular" AI Data Center (DC) solutions, a method that allows pre-designed power and cooling units to be assembled on-site to significantly reduce construction time and costs compared to traditional concrete structures. In a separate move to solve memory bottlenecks, SKT partnered with Panmnesia to develop a CXL-based (Compute Express Link) architecture. This technology allows CPUs, GPUs, and memory to be flexibly pooled across racks, eliminating the need to purchase expensive GPUs just to expand memory capacity and reducing data latency. Nokia’s ‘Doksuri’: A nod to Korean engineering Highlighting the collaborative spirit of the event, Finnish telecommunications leader Nokia introduced its next-generation Remote Radio Head (RRH) named "Doksuri" (Eagle in Korean). According to Cho Bong-yeol, Nokia’s Lead of Product Management, the name represents the "dominance of the skies" and acknowledges the strength of the Korean market. Powered by Nvidia GPUs, the platform enables telcos to process both communication signals and AI inference on a single unit, maximizing investment efficiency. Nokia also showcased its Integrated Sensing and Communication (ISAC) technology, which turns existing 3.5GHz base stations into radar resources to detect drones without additional hardware. 2026-03-04 14:04:47
  • Middle East Crisis: Chipmakers unworried, investors disagree
    Middle East Crisis: Chipmakers unworried, investors disagree SEOUL, March 03 (AJP) - South Korean memory producers do not expect the flare-up in the Middle East to disrupt their unprecedented upcycle, with DRAM prices projected to nearly double in the first quarter from the prior three-month period that already delivered record chip profits. Market tracker TrendForce recently forecast a 90–95 percent quarter-over-quarter surge in conventional DRAM contract prices for the first quarter, driven by sustained artificial intelligence (AI) demand. As escalating geopolitical tensions unsettle global logistics and energy markets, questions have emerged over whether the conflict could interfere with this upward pricing trajectory. For South Korea’s major semiconductor manufacturers, however, the immediate logistical fallout appears limited. Rather than citing macro shocks as a catalyst for further price adjustments, Samsung Electronics and SK hynix remain focused on the underlying supply-demand imbalance. While rising oil prices and maritime bottlenecks have weighed on other industries, memory chips remain structurally insulated. Lightweight and high in value, they are predominantly transported via air freight, leaving ocean shipping disruptions a secondary concern. An SK hynix official said transportation expenses account for only a small portion of overall manufacturing costs. “The memory industry is not directly linked to the Middle East issue,” the official said. “The market is already facing a severe supply shortage relative to demand, and prices have risen sharply. It is unlikely this geopolitical factor will serve as an additional driver.” Samsung Electronics is not implementing specific countermeasures related to cost burdens but remains cautious. “Semiconductors are mostly shipped by air, though finished consumer electronics move by sea, so the impact is not entirely absent,” an official familiar with the matter said. The company’s immediate priority has been employee safety, strongly recommending remote work for staff stationed in the Middle East. On potential price adjustments, the official added: “If cost burdens materialize, they could influence pricing, but it is difficult to quantify at this stage. We need to assess how the situation evolves.” Investors nevertheless turned jittery. Shares of Samsung Electronics tumbled 11.41 percent to 191,800 won ($130.89) and SK hynix 12.82 percent to end Tuesday at 926,000 won, pushing the main Kospi down 7.24 percent in one of its steepest single-day falls. Logistics experts caution warn secondary effects — particularly energy costs- could prove more consequential than direct shipping disruptions. Kang Kyung-woo, emeritus professor of traffic and logistics engineering at Hanyang University, noted that semiconductor firms had already built substantial inventories in anticipation of supply chain volatility. “In the short term, logistics impact will not be significant,” Kang said. However, he underscored energy and geopolitical realignments as longer-term variables. “Semiconductor production is energy-intensive. While direct shipping effects are minimal, indirect impacts through energy supply disruptions are likely,” he said. Increased demand for defense technologies could also tighten supply chains further, adding sustained pressure to an already constrained market. 2026-03-03 16:30:43