Samsung’s Smartphone Struggles Surface in U.S. Layoffs Despite AI-Driven Profits

About 839 Samsung employees in the United States are being laid off (roughly 739 in Englewood Cliffs, New Jersey, and ~100 in Plano, Texas), mostly in sales and marketing with relocation offers for many. The move underscores a split: Samsung’s consumer smartphone arm is struggling even as its memory and chip businesses post surging profits driven by AI demand. Analysts have warned of smartphone profitability challenges, while Korea saw strong bonuses amid union pressure in memory operations, highlighting a mixed picture of AI-fueled growth and rising component costs.