Monday, December 21st 2020
NVIDIA, Samsung Strengthen Strategic Chip Fabrication Partnership in Deal
It seems NVIDIA and Samsung's partnership in bringing to life the green company's semiconductor designs isn't about to end anytime soon. Semiconductor analysts and insiders have said that NVIDIA and Samsung etched a new manufacturing deal on December 17th that still relates to the company's in-high-demand RTX-30 series graphics cards, which should see Samsung increase output - particularly at its Hwaseong plant - to sate the seemingly unquenchable demand from consumers and scalpers alike. The deal, which is roughly valued at "hundreds of billions won" will see Samsung double down on its 8 nm output for NVIDIA's latest gaming chips. This seems to put to rest speculation on an RTX 30-series redesign for TSMC's allegedly better 7 nm process - and according to the industry insiders, NVIDIA looked to Samsung specifically because of the need for "quick delivery of the chips".
This instills new life into Samsung's contract-based foundry business; according to market researcher TrendForce, Samsung's foundry business is expected to post a record $14.05 billion in sales this year, up 17.9% from 2019, as the company expands its client base not only through this and the previous NVIDIA deal, to Qualcomm Technologies Inc., Google, IBM, Cisco and China's Baidu. Samsung is accelerating its investment into EUV lithography in sub-7 nm processes so as to poach more customers and market share from industry behemoth and poster boy TSMC, spending 10 trillion won ($8.6 billion) to both improve technology and increase output on its foundries.
This instills new life into Samsung's contract-based foundry business; according to market researcher TrendForce, Samsung's foundry business is expected to post a record $14.05 billion in sales this year, up 17.9% from 2019, as the company expands its client base not only through this and the previous NVIDIA deal, to Qualcomm Technologies Inc., Google, IBM, Cisco and China's Baidu. Samsung is accelerating its investment into EUV lithography in sub-7 nm processes so as to poach more customers and market share from industry behemoth and poster boy TSMC, spending 10 trillion won ($8.6 billion) to both improve technology and increase output on its foundries.
9 Comments on NVIDIA, Samsung Strengthen Strategic Chip Fabrication Partnership in Deal
Honesty those rumors about them jumping to TSMC in the middle of a generation where ludicrous to begin with, the investment is simply not worth it. I bet those leaks were fabricated with the intention of jacking the stock up.
Let me say this as an example, AMD became competitive back in 2017 with an inferior process technology. If they could do it, so can everyone else, all these rumors about companies such as Nvidia whining about TSMC's supremacy are quite pathetic.