Agreement strengthens Nvidia’s position as a global AI leader
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Jensen Huang, Nvidia
South Korean tech giant Samsung is making a major investment in artificial intelligence by building a factory powered by 50,000 Nvidia GPUs. This AI megafactory, as Samsung calls it, aims to revolutionise chip production for mobile devices and robots.
The partnership with Nvidia underscores the growing importance of these chips in the development of advanced AI. Recently, Nvidia CEO Jensen Huang announced collaborations with several companies, including Palantir, Eli Lilly, CrowdStrike, and Uber. This agreement with Samsung further strengthens Nvidia’s position as a global AI leader.
Nvidia said that other Korean companies like SK Group and Hyundai are also deploying significant numbers of GPUs, demonstrating widespread adoption of the technology throughout South Korea. Nvidia’s senior vice president for Asia-Pacific emphasized the company’s commitment to support South Korea’s ambitious AI goals through close cooperation with the government.
The partnership highlights Nvidia’s impressive business outlook. Huang recently revealed a $500 billion (€435 billion) pipeline for current and next-generation GPUs, which led to a surge in Nvidia’s stock price and made it the first company to reach a $5 trillion market capitalisation.
Nvidia will work with Samsung to optimise its lithography platform for chip manufacturing, ensuring compatibility with Nvidia GPUs. This integration promises to boost performance by a factor of 20. Samsung will also use Nvidia’s Omniverse simulation software.
Samsung is not just a customer but also plays a crucial role as a supplier for Nvidia by producing the high bandwidth memory essential for Nvidia’s AI chips. Samsung and Nvidia plan to refine their next-generation, fourth-generation HBM memory specifically for AI applications. Thanks to this close collaboration, both companies stand to benefit from advancements in AI technology.
Business AM