Samsung Announces Plan to Speed Up AI Chip Delivery

Samsung wants to take advantage of the AI boom and predicts that the world chip market will grow a lot by 2027, so it is speeding up the production of AI chips using its integrated chip services and advanced technologies.

Samsung Electronics 005930.KS’s contract manufacturing business wants to take advantage of the AI boom by combining its world No. 1 memory chip, foundry, and chip packaging services into a single place where customers can get their AI chips made faster.

Samsung said on Wednesday that the time it takes to make AI chips, which used to take weeks, has been cut by about 20% because clients can talk to Samsung’s memory chip, foundry, and chip packing teams all at once through a single channel.

At a Samsung event in San Jose, California, Siyoung Choi, President and General Manager, Foundry Business, said, We really are living in the age of AI.

Choi said that Samsung thinks the global chip business will make $778 billion by 2028, thanks to AI chips. Executive Vice President of Foundry Sales and Marketing Marco Chisari told reporters before the event that the company agrees with OpenAI CEO Sam Altman’s broad predictions about the huge demand for AI chips. Reports from Reuters say Altman told officials at contract chipmaker TSMC 2330.TW that he wanted to build about thirty new chip factories.

Samsung’s Integrated Approach and Technological Advances

Along with designing chips, Samsung is one of the few companies that sells memory chips. As a result, some clients were wary of doing business with its foundry because they thought it could help Samsung as a rival in another area. With the demand for AI chips going through the roof and the need for all the chip parts to be highly integrated so that they can train or infer huge amounts of data quickly while using very little power, Samsung thinks that its turnkey method will be a competitive advantage in the future.

The big South Korean tech company also talked up its cutting-edge chip design, called gate all-around (GAA). GAA is a type of transistor architecture that helps chips work better and use less power. People think that GAA is important for making AI chips that keep getting stronger even as they get smaller and smaller, to the point where they break the rules of physics.

Global foundry No. 1 TSMC is also working on chips using GAA, but Samsung started using it earlier and said it would mass-produce its second-generation 3-nanometer chips using GAA in the second half of this year. Also, Samsung showed off its newest 2-nanometer chip-making method for high-performance computer chips. This method puts power rails on the back of the wafer to make power transmission better. The planned year for mass production is 2027.