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Samsung Reportedly Gains Nvidia Nod for HBM3E Chips Amid AI Memory Race
Source: Samsung Electronics

Samsung Reportedly Gains Nvidia Nod for HBM3E Chips Amid AI Memory Race

Samsung secures Nvidia approval for 8-layer HBM3E memory chips, marking strategic advancement in AI chip competition

Philip Lee profile image
by Philip Lee

Seoul, South Korea - Samsung Electronics has received approval from Nvidia to supply a specific version of its fifth-generation high-bandwidth memory chips, Bloomberg reported, citing people familiar with the matter.

According to the report, Nvidia cleared Samsung's 8-layer HBM3E chips in December 2024. These chips will be used in Nvidia's specialized AI processors designed for the Chinese market.

The development marks a modest breakthrough for Samsung, which has been trying to gain Nvidia's approval for its HBM3E chips for a year. 

The company has been trailing behind competitor SK Hynix Inc. in the profitable high-bandwidth memory market.

Bloomberg reported that SK Hynix began mass-producing 8-layer HBM3E chips in early 2024 and began delivering more advanced 12-layer variants near the end of that year.

High-bandwidth memory chips have emerged as a profitable segment for memory manufacturers amid increasing investments in AI computing infrastructure.

Compared to conventional memory products, the complex production process has helped maintain profit margins and market stability.

Samsung's semiconductor division head, Jun Young-hyun, previously acknowledged certification delays with Nvidia and expressed regret over the company's performance. 

Under his leadership, Samsung has undertaken organizational changes and increased R&D investments, aiming to improve its market position with the upcoming HBM4 generation.

Both Samsung and SK Hynix are competing to become Nvidia's primary supplier for HBM4 chips. Mass production is scheduled to begin in the second half of 2025.

Representatives from Samsung and Nvidia declined to comment when Bloomberg contacted them.

Source: Bloomberg

Philip Lee profile image
by Philip Lee

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