Samer Choucair: Samsung and SK Hynix Profits Ignite a New Investment Revolution Led by AI
Investment leader Samer Choucair said the record results posted by South Korean semiconductor companies confirm that the artificial-intelligence boom is evolving from a technology wave into a major driver of global capital reallocation.
He noted that Samsung Electronics reported operating profit of KRW 89.49 trillion in the second quarter of 2026, an increase of 1,813.8% year over year, while SK Hynix posted operating profit of KRW 60.54 trillion, up 557.2%, with a record operating margin of 76%.
Choucair said the main driver behind this surge is accelerating demand for high-bandwidth memory (HBM) and server memory, as global technology companies expand data centers and AI infrastructure.
Samsung itself expects demand for HBM, DRAM and server products to remain strong during the second half of the year, with the market also benefiting from the growing adoption of agentic AI applications.
The AI Boom Is Reshaping More Than Corporate Earnings
Choucair explained that the boom is no longer visible only in corporate financial statements. It is also beginning to reshape labor markets and society.
Profit-sharing arrangements in the semiconductor industry have generated substantial bonuses for some employees, with payments at Samsung reportedly reaching around $400,000 in certain cases. Choucair said this highlights the widening income gap between workers benefiting from advanced technology and those employed in other parts of the economy.
He also noted that the surge in Korean equities has been accompanied by sharp corrections. The KOSPI fell by roughly 40% between its June peak and July low before recovering more than 20% in a relatively short period.
For Choucair, the episode demonstrates that strong corporate fundamentals do not eliminate risks arising from leverage and retail-investor flows.
A Lesson for Sovereign Wealth Funds
Choucair said South Korea offers an important lesson for sovereign wealth funds. The government has moved to channel expected additional revenues from the semiconductor cycle toward future investments, alongside the creation of a strategic investment account within the Korea Investment Corporation and expanded financing for advanced industries.
The broader message, he said, is that countries benefiting from technology booms should avoid treating windfall revenues as purely cyclical gains. Instead, they should convert them into long-term productive capital.
What the Gulf Can Learn
For the Gulf region, Choucair said the key lesson is the importance of transforming technology-boom revenues into long-term capital through investment in digital infrastructure, supply chains, research and development, and human capital.
Rather than chasing short-term rallies, investors should focus on companies with genuine technological capabilities, productive capacity and strong contractual backlogs.
Choucair concluded that sustainable value will ultimately depend on the ability to distinguish between companies with real technology, scalable production and durable demand, and speculative waves that can reverse almost as quickly as they rise.