Samsung’s Q4 profit outlook falls short as chip troubles weigh heavily

Samsung Electronics released on Wednesday a fourth-quarter operating profit estimate that missed analyst estimates by a large margin, as it lagged behind rival SK Hynix in supplying high-end chips to Nvidia.

Samsung’s earnings were dented by rising research and development costs and the ramp-up of manufacturing capacity for advanced chips, as well as by slowing demand for conventional memory chips used in PCs and mobile phones, the company said in a statement.