In order to capitalize on the AI boom, Samsung Electronics (005930.KS), opens new tab, announced that its contract manufacturing division will provide a one-stop shop for customers to expedite the production of their AI chips by combining its global No. 1 memory chip, foundry, and chip packaging capabilities.
The time it takes to develop AI chips, which is typically weeks, has been reduced by about 20% thanks to clients having access to a single channel of communication that simultaneously leads Samsung’s memory chip, foundry, and chip packaging teams, the company said on Wednesday.
“We are truly living in the age of AI – the emergence of generative AI is completely changing the technology landscape,” said Siyoung Choi, President and General Manager, Foundry Business, at a Samsung event in San Jose, California. Executive Vice President of Foundry Sales and Marketing Marco Chisari stated that the business thinks OpenAI CEO Sam Altman’s approximate predictions of skyrocketing demand for AI chips are reasonable during a pre-event briefing with media.
According to a recent report by Reuters, Altman expressed his desire to construct approximately thirty new chip facilities to executives at contract chipmaker TSMC (2330.TW).
One of the rare businesses that designs, develops, and sells memory chips all under one roof is Samsung. This combination has historically worked against it since several customers were concerned that doing business with its foundry would make Samsung more competitive in another industry.
Nevertheless, Samsung thinks its turnkey strategy will be a strength moving ahead given the rapidly increasing demand for AI chips and the requirement for all chip components to be fully integrated in order to train or infer massive quantities of data quickly while using less power.
Additionally, the innovative gate all-around (GAA) transistor architecture, which helps to enhance chip performance and lower power consumption, was a point of pride for the South Korean tech behemoth.
