ByteDance Eyes AI Chip Production Via Samsung

ByteDance, the parent company of TikTok, is reportedly developing an in-house artificial intelligence chip. Sources indicate that the tech giant is in talks with Samsung Electronics to manufacture these advanced processors. The company is aiming to receive initial chip samples by the end of March and plans to produce at least 100,000 units this year, with aspirations to scale up production significantly.

This move signifies ByteDance's long-standing ambition to secure its own AI chip supply, a venture that has been underway since at least 2022. The collaboration with Samsung is particularly attractive due to potential access to memory chip supplies, which are currently in high demand globally. This effort aligns with a broader trend of tech giants developing custom AI chips to reduce reliance on dominant suppliers like Nvidia.

ByteDance's chip project, codenamed SeedChip, is a component of its substantial investment in AI. The company is expected to allocate over 160 billion yuan ($22 billion) to AI-related procurement in 2026, with a significant portion dedicated to both purchasing advanced chips and advancing its internal chip development. This strategic push underscores ByteDance's commitment to leveraging AI across its operations, from short video and e-commerce to enterprise cloud services.