[Click eStock] "Ondevice AI Expansion Era... Semiconductor Benefits"

On the 28th, KB Securities stated that the semiconductor sector has entered the expansion phase of on-device artificial intelligence (AI), anticipating a positive ripple effect for semiconductor companies such as Samsung Electronics and SK Hynix.

Researcher Kim Dong-won said, "The on-device AI market is expected to enter an expansion phase next year, leading to rapid growth," adding, "The compound annual growth rate of AI smartphone shipments is projected to be 83.0% until 2027, which will exceed the global smartphone market growth rate of 3.3% by about 25 times."

Samsung Electronics is reportedly set to unveil its new AI-enabled smartphone, the 'Galaxy S24,' early on January 17 next year in California, USA. Apple is also expected to equip the 'iPhone 16' with generative AI in September next year. Additionally, around 250 AI PCs equipped with Intel's new chips are expected to be released in the first half of next year.

Researcher Kim forecasted, "AI smartphone shipments will surge elevenfold to 520 million units in 2027 compared to 46 million units in 2023," and "the AI smartphone penetration rate is also expected to reach 40% in 2027, a tenfold increase from 4% in 2023."

He added, "In particular, AI functionality is expanding beyond smartphones to real-life sectors such as PCs, home appliances, automobiles, security, and healthcare, which will simultaneously drive a sharp increase in demand for custom-made AI chips."

He also stated, "The rapid growth of the on-device AI market is expected to lead to an increase in demand for memory semiconductors from companies like Samsung Electronics and SK Hynix, as well as the expansion and advancement of the ecosystem of fabless and design house (DSP) companies related to AI chips."

This content was produced with the assistance of AI translation services.