In a significant development, Samsung Electronics has secured a $16.5 billion contract to supply semiconductors to a major global corporation. The deal, finalized on Saturday, pertains to contract chip manufacturing, also known as foundry services. Specific details, including the partner’s identity and terms, will remain confidential until the end of 2033. Following the announcement, Samsung’s share price rose by 3.5%.
At the 2025 World Artificial Intelligence Conference in Shanghai, China showcased its technological prowess and global AI ambitions, presenting a multilateral vision in contrast to U.S. President Donald Trump’s “America First” strategy. Over 800 companies displayed advanced AI technologies, including humanoid robots and flying taxis, many based on domestic open-source models like Alibaba’s and DeepSeek’s, reflecting a shift from reliance on Western platforms like OpenAI and Meta. Chinese Premier Li Qiang announced plans for a Shanghai-based AI cooperation organization and two UN mechanisms for regulating AI, positioning China as a proponent of international collaboration.
In trade news, the U.S. has temporarily halted export restrictions on technology to China to support trade negotiations and facilitate a meeting between President Donald Trump and Chinese President Xi Jinping. The Commerce Department’s Bureau of Industry and Security has been directed to soften its stance on China, aiming to avoid escalating tensions during ongoing trade talks. This pause includes a reversal of export bans on Nvidia’s H20 AI chips, initially restricted due to national security concerns. Discussions in Stockholm between top U.S. and Chinese officials are expected to resume, focusing on key economic disputes and issues like rare earth elements.
On the stock market front, U.S. markets had a relatively quiet session amid anticipation of several major upcoming economic events. The S&P 500 rose slightly by 1.13 points to a record 6,389.77, marking its sixth consecutive all-time high. The Nasdaq composite also reached a new record, climbing 70.27 points to 21,178.58. In contrast, the Dow Jones Industrial Average dipped 64.36 points to 44,837.56, and the Russell 2000 index slipped 4.34 points to 2,256.73. Market sentiment remained steady following an agreement on a trade deal framework between the United States and the European Union. Investors are looking ahead to significant events later in the week, including Big Tech earnings and a Federal Reserve decision on interest rates.
In corporate news, Intel has confirmed plans to lay off nearly 24,000 employees—about 15% of its workforce—by the end of 2025 as part of a wider restructuring plan. The company also announced plans to scrap “tens of billions” of planned investments in new chip facilities in Europe. This move comes as Intel aims to reduce costs and refocus its business strategy amid increasing competition in the semiconductor industry.