Samsung Electronics (005930.KS) announced that its contract manufacturing division plans to provide a comprehensive solution for clients to expedite the production of AI chips. By integrating its world-leading memory chip, foundry, and chip packaging services, Samsung aims to capitalize on the AI boom.
With clients benefiting from a single point of contact that coordinates Samsung’s memory chip, foundry, and chip packaging teams simultaneously, the typical production time for AI chips has been reduced by about 20%, the company stated on Wednesday.
“We are truly living in the age of AI—the emergence of generative AI is completely changing the technology landscape,” remarked Siyoung Choi, President and General Manager of the Foundry Business, during a Samsung event in San Jose, California.
Samsung projects that global chip industry revenue will rise to $778 billion by 2028, driven by AI chip demand, Choi added. In a pre-event briefing with reporters, Executive Vice President of Foundry Sales and Marketing Marco Chisari expressed confidence in OpenAI CEO Sam Altman’s optimistic predictions about the increasing demand for AI chips.
Altman has reportedly informed TSMC (2330.TW) executives of his intent to build around three dozen new chip factories, as per previous Reuters reports.
Samsung is one of the few companies that offer memory chips, foundry services, and chip design under one roof. While this combination has sometimes been a drawback, causing concerns among clients about potential competitive conflicts, the soaring demand for AI chips and the need for highly integrated chip components to process large amounts of data quickly and efficiently is now seen as an advantage.
The South Korean tech giant also highlighted its advanced chip architecture known as gate all-around (GAA), a transistor design that enhances chip performance and reduces power consumption.
