South Korea's Samsung Electronics said on Wednesday it expected fourth-quarter profits to be sharply down compared with the previous quarter, falling short of expectations as the company struggled to meet robust demand for chips used in artificial intelligence servers.

Samsung's earnings were dented by rising research and development costs and the ramp-up of manufacturing capacity for advanced chips

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 Electronics forecast a two-fold increase in its fourth-quarter operating profit, signaling a continued slowdown in earnings growth that analysts largely attributed to weaker-than-expected semiconductor prices.

Samsung Electronics Co.’s quarterly profit missed estimates, reflecting a costly effort to claw back market share in the pivotal AI chip and smartphone arenas.

Samsung Electronics estimated on Wednesday a 131% jump in fourth-quarter operating profit from a year earlier but missed analyst estimates by a large margin as it lagged behind rival SK Hynix in supplying high-end chips to Nvidia.

South Korea's Samsung Electronics said Wednesday it expected fourth-quarter profits to fall sharply from the previous quarter and miss forecasts as it struggled to meet robust demand for chips used in artificial intelligence servers.