Samsung Electronics and SK Hynix shares fell more than 7% and 9% respectively during early Thursday trading, following a sharp decline in US semiconductor stocks. This selloff has impacted South Korea’s benchmark Kospi index as investors respond to heavy losses in major chipmakers like Micron Technology and Sandisk.
Why are semiconductor stocks facing a major selloff?
The decline follows a difficult start to July for the Nasdaq Composite. On Wednesday, Micron Technology shares dropped more than 10%, despite the company recording a 260% gain year-to-date. Sandisk also saw its shares shed over 10% overnight. These movements in US markets preceded the volatility seen in Asian trading sessions.
While some major players saw significant drops, others experienced more moderate declines. According to market data, Nvidia and Broadcom fell between 1% and 2% during the same period. This suggests the selloff is currently concentrated among specific memory and chip manufacturers rather than the entire tech sector.
How did the crash impact South Korean markets?
Asia’s largest chipmakers bore the brunt of the global tech selloff. Samsung Electronics tumbled more than 7% at the open, while SK Hynix sank over 9%. These losses wiped out billions in market value and dragged down the South Korean Kospi index.
The impact extended to major shareholders as well. SK Square, the largest shareholder of SK Hynix, fell more than 10% during the session. This mirroring of losses across the semiconductor sector highlights the interconnectedness of global tech supply chains.
Comparison of recent semiconductor stock losses
| Company | Reported Decline |
|---|---|
| SK Square | More than 10% |
| Micron Technology | More than 10% |
| Sandisk | More than 10% |
| SK Hynix | More than 9% |
| Samsung Electronics | More than 7% |
| Nvidia / Broadcom | 1% to 2% |
What is the future of mobile technology according to Samsung?
Despite current market volatility, Samsung Electronics is focusing on long-term technological shifts. The company is currently featuring the slogan “A new era of mobile agentic AI” at its exhibition stands. This indicates a strategic move toward integrating agentic AI capabilities directly into mobile devices.
The shift toward agentic AI could change how consumers interact with hardware. While the semiconductor sector faces immediate price corrections, the demand for specialized chips capable of running advanced AI models remains a central theme for the industry’s future growth.
Frequently Asked Questions
Why are Samsung and SK Hynix shares falling?
The decline is part of a broader global tech selloff that began with a slump in the Nasdaq Composite and heavy losses in US chipmakers like Micron and Sandisk.
How much did the Kospi index drop?
The benchmark Kospi was dragged down by the significant losses in major semiconductor companies, including Samsung Electronics and SK Hynix.
What is “agentic AI” in the context of Samsung?
Samsung is positioning “mobile agentic AI” as a new era for mobile technology, suggesting a focus on AI that can act more autonomously on mobile devices.
What are your thoughts on the current volatility in the semiconductor market? Let us know in the comments below or subscribe to our newsletter for the latest business intelligence.
