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Samsung making chips for mining bitcoins, other cryptocurrencies

In Business by Alora Uy GuerreroLeave a Comment

Guess which tech giant is now into manufacturing cryptocurrency mining chips?

Samsung, in its 2017 fourth-quarter results report, has revealed its entrance into the cryptocurrency business. So while its foundry business’ earnings decreased last quarter because of weak seasonality, they’re expected to rally from January to March this year because of growing demand for application-specific integrated circuit chips meant to mine bitcoin, ether, and other cryptocurrencies.

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ASIC chips, by the way, are hardware built for just one purpose; they are not for general-purpose use. They are optimized to do that just one task well and efficiently, hence the high demand for them.

ASIC chips are components built for just one purpose; they’re not for general-purpose use. They are optimized to do that one task well and efficiently, hence the high demand for them.

But the bulk of the profits will still come from the ramp-up of second-generation 10nm process products for 2018 flagship smartphones, of course, given that the former is still in the starting phase.

Samsung declined to disclose details about its customers, but a report out of South Korea says that the company is collaborating with a Chinese distribution partner.

Samsung declined to disclose details about its customers, but a report out of South Korea says that the company is collaborating with a Chinese distribution partner.

It’s not surprising for the newly minted largest chipmaker to get into the craze. After all, its high-capacity memory chips for GPUs, while typically made to handle computer graphics, are now also being used for mining purposes.

READ ALSO: Samsung Galaxy A8, A8+ (2018) review: Almost flagship-grade

With Samsung now being an ASIC chip supplier to what is supposed to be a virtual-money mining company in China, big players in chip manufacturing may have to watch their back. TSMC or Taiwan Semiconductor Manufacturing Company, which got additional revenues of $350 million to $400 million because of the crypto explosion, comes to mind.

Via TechCrunch


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Alora Uy Guerrero

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Editor-in-chief: Alora Uy Guerrero has over 15 years of experience as an editor for print and digital publications such as Yahoo. She took a year off from journalism to manage OPPO’s digital-marketing campaigns. When not busy freelancing as an editorial and social-media consultant, she’s working on Revü, a passion project — or probably traveling or obsessing over her furbabies and her favorite bands, movies, TV shows, and basketball teams.