Samsung Slashes Memory Chip Production Amidst Profit Plunge.

Samsung has announced "meaningful" production cuts for NAND and DRAM due to the ongoing slump in demand that has impacted the entire memory industry over the last several months. The cuts come as Samsung Electronics has experienced a substantial drop in revenue and profits, with Q1 sales dropping 19% and operating profits plummeting 95%. Despite these cuts, Samsung intends to continue their long-term investment plans in new fabs. The reduction in memory fab utilization rate will decelerate the drop in commodity memory prices, but the oversupply issue is expected to persist until the third quarter.