Samsung Electronics chip chief Jun Young-hyun has urged executives not to mistake recent gains in high-bandwidth memory, or HBM, for a full recovery in competitiveness, while record profits are also setting the stage for potential increases in shareholder returns. Industry sources said Jun repeatedly warned at recent management meetings that Samsung "must not grow complacent," even after the company became the first to commercialize HBM4 and reported its best-ever quarterly results. He reportedly rejected the idea that merely catching up with SK hynix should count as success, arguing Samsung needs to rebuild a durable technology lead rather than follow rivals. The warning comes after Samsung lost ground in HBM3 and HBM3E, while SK hynix held 62% of global HBM shipments in the first half of 2025, ahead of Micron at 21% and Samsung at 17%. Jun, who returned in early 2024 and took over the Device Solutions Division in May that year, has made restoring "fundamental competitiveness" a priority. Samsung's HBM4, which runs at up to 13 gigabits per second, gave it first-mover status in the next generation, but competitors are already preparing faster and more customized HBM4E products. Jun also reportedly told executives that only about 30% of Samsung's current performance reflects its own capabilities, with the rest driven by an AI-led semiconductor upcycle, tight memory supply and higher prices. Alongside that internal warning, Samsung Electronics and SK hynix are preparing shareholder return policies tied to strong free cash flow, with analysts projecting their combined annual payouts could reach 300 trillion won if planned frameworks are implemented at the upper end.