Home / Business and Economy / Samsung Secures $2.8B from Tesla & Nvidia for Advanced Chips
Samsung Secures $2.8B from Tesla & Nvidia for Advanced Chips
22 Oct
Summary
- Samsung will receive 3.7 trillion won from Tesla and Nvidia.
- Investment will build advanced chip substrate facilities in Sejong.
- This aims to supply FC-BGA for AI semiconductors under contract.
Samsung Electro-Mechanics is poised to receive a significant investment totaling 3.7 trillion won (approximately $2.8 billion) from both Tesla and Nvidia. This financial backing is intended to establish state-of-the-art facilities dedicated to producing advanced chip substrates, specifically FC-BGA (flip-chip ball grid array).
These new production lines will be located in the South Korean city of Sejong. The investment aims to ensure a steady supply of these critical components for AI semiconductors, with both Tesla and Nvidia entering into long-term contracts with Samsung for the substrates.
The reported investments include 1.1 trillion won from Tesla and 2.6 trillion won from Nvidia. This strategic move underscores the increasing demand for high-performance chips essential for artificial intelligence applications.
