👩🍳 How we use AI at Tech in Asia, thoughtfully and responsibly.
🧔♂️ A friendly human may check it before it goes live. More news here
🧔♂️ A friendly human may check it before it goes live. More news here
Samsung SDI swings to profit on US battery demand
Net profit reached 56.1 billion won (US$38.1 million), from a 216 billion won (US$147 million) loss a year earlier.
Revenue rose 12.6% to 3.6 trillion won (US$2.43 billion), while operating loss narrowed to 155.6 billion won (US$106 million).
The company said demand also improved for higher-margin cylindrical batteries.
It expects a recovery from the second quarter, with ESS demand supported by AI data centers and EV battery demand helped by European incentives.
🔗 Source: Yonhap
🧠 Food for thought
Implications, context, and why it matters.
A billion-dollar deal reveals the strategy behind Samsung SDI’s turnaround
- Samsung SDI’s U.S. energy storage system (ESS) sales got a lift from a 1.5 trillion won (US$1 billion) supply agreement with a U.S. energy company 1.
- To handle that order, Samsung SDI plans to use part of StarPlus Energy’s Indiana plant to make ESS batteries alongside electric vehicle (EV) batteries. StarPlus Energy is a joint venture with Stellantis, the automaker behind Jeep and Peugeot 2.
- That expansion follows strong traction in ESS batteries, where the company posted its highest quarterly revenue yet 3.
- Samsung SDI says it is North America’s only non-Chinese supplier of prismatic ESS batteries, a flat rectangular format used in large storage systems, which sets it apart in this market 1.
The AI boom’s power demand is reshaping the battery industry
- AI now sits closer to Samsung SDI’s battery pitch. The company used the slogan “AI thinks, Battery enables” for its InterBattery 2026 appearance, a battery industry trade show 4.
- Beyond grid storage, it is building products for AI data centers including Uninterruptible Power Supply (UPS) and Battery Backup Unit (BBU) systems 4.
- Supplying AI infrastructure could open another source of sales for battery makers while electric vehicle demand stays weak 3.
- The shift also hints that battery producers can redirect large production lines toward AI-related ESS demand, which may raise use of existing factory capacity 2.
