Samsung Electronics on Tuesday projected a far worse than expected 56% plunge in second-quarter operating profit due to weak AI chip sales, deepening investor concerns over the tech giant's ability to revive its struggling semiconductor business.

Samsung Electronics Co.’s profit shrank more than expected after encountering hiccups in plans to sell cutting-edge AI memory to Nvidia Corp.

Analysts have said that Samsung has been declining, losing out to competitors because of factors other than the US export restrictions.