Samsung Electronics has actually supposedly protected HBM orders from NVIDIA, marking a prospective upturn of the Korean giant’s memory department.
Samsung’s HBM Agreements With NVIDIA & AMD Will Mark a Financial Revival For Memory Division, Credits to AI
Reports about the NVIDIA-Samsung partnership have actually been revolving for a while now, and Samsung may simply have actually gotten NVIDIA’s rely on its HBM items. Samsung’s HBM memory has actually passed NVIDIA’s 4th and last quality test, after which both business have actually accepted a supply agreement, which might be started as quickly as next month. Now NVIDIA has SK Hynix and Samsung as its HBM providers, enabling Team Green to increase its AI GPU production.
Samsung’s addition into NVIDIA’s panel of providers loomed, mainly since the business has actually been not able to satisfy orders of AI GPUs such as the H100s due to the tremendous need. HBM is understood to be among the important elements, which is why NVIDIA has actually connected to Samsung to diversify its supply chain. NVIDIA intends on shipping 1.5-2.0 million H100s by 2024, and attaining this goal isn’t possible if NVIDIA does not have a vast array of providers.
Samsung has actually remained in a difficult area when it concerns obtaining the trust of business for its items. By acquiring an enormous stake in NVIDIA’s HBM orders, not just will the memory department gain advantages, however the business’s foundry service might likewise be possibly made use of for the production of AI GPUs, provided that Samsung has formerly proposed NVIDIA to look after all making procedures of its AI GPUs. It is anticipated that Samsung’s market share in HBM orders might surpass 50%, exceeding the similarity SK Hynix and Micron.
Apart from NVIDIA, it was likewise reported that Samsung has actually taken obligation for HBM production for AMD’s Instinct AI GPUs, which puts the business in a comfy position. Samsung’s upcoming monetary quarters might witness a considerable boost in profits, with experts anticipating that the business will control Q4.
Today’s advancement is fantastic news for Samsung’s memory department, considered that it has actually been a victim of diminishing monetary quarters for rather a long time now, and the AI “boom” will certainly assist in improving income. It still depends on Samsung’s method towards HBM production and whether the business can handle substantial orders, provided that it now has the trust of market leaders.
News Source: Hankyung