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Samsung and Broadcom Forge AI Chip Pact
25 Jul
Summary
- Samsung and Broadcom signed a cooperation pact exceeding $200 billion.
- The deal aims to boost Samsung's advanced chip manufacturing utilization.
- Collaboration focuses on AI, HPC, and next-gen memory products.
Samsung Electronics and U.S. chip designer Broadcom have established a wide-ranging cooperation pact, projected to surpass $200 billion in value through 2030. This agreement secures long-term production commitments from Broadcom, a leading custom AI chip designer, and is expected to increase utilization at Samsung's advanced manufacturing facilities.
The expanded collaboration will leverage Broadcom's expertise in designing application-specific integrated circuits (ASICs) with Samsung's manufacturing prowess. This includes the production of Broadcom's next-generation communications chips using Samsung's sub-2-nanometre process technology and joint development of high-bandwidth memory (HBM) products.
This tie-up is crucial for Samsung as global technology firms increasingly develop custom AI accelerators. The partnership is anticipated to bolster Samsung's foundry business and aid its efforts to compete with industry leader TSMC, particularly as demand for specialized AI processors continues to grow. Samsung has also engaged in discussions with other major tech players regarding future foundry cooperation.
