Just a few years ago, Samsung Electronics stood as a leading force in the global semiconductor race, dominating one chip sector and eyeing Taiwan’s TSMC in the battle for supremacy in another.

Samsung Electronics reported on Thursday a 55% drop in second-quarter operating profit as delays in high-bandwidth memory chip shipments and U.S. export curbs on advanced chip sales to China continued to drag on its key semiconductor division.

Samsung Electronics just scored a $16.5 billion deal with Tesla tied to its Austin-area chip fab. Samsung is relying on the deal and others like it to aid its slumping semiconductor business.