AMD Secures Next-Gen HBM4 Memory in Expanded Samsung Deal
In Focus
- The latest deal focuses on the supply of HBM4 to AMD
- AMD needs the memory to develop Instinct MI455X AI accelerators
- The Samsung-AMD AI memory deal includes a foundry partnership
Samsung Electronics is expanding its strategic partnership with Advanced Micro Devices (AMD) on the supply of memory chips needed for AI infrastructure, Yahoo Finance reported. The Samsung-AMD AI memory chip deal strengthens collaboration between the two firms on next-generation AI memory and computing technologies.
Focus on High-Bandwidth Memory
The Samsung-AMD collaboration focuses on the supply of high-bandwidth memory (HBM4), which moved to mass production earlier this year. AMD needs the high-bandwidth memory to build its upcoming Instinct MI455X AI accelerators.
High-bandwidth memory helps in accelerating AI model training and inference by delivering faster data transfer and improved efficiency. The agreement also covers the supply of Samsung’s optimized DDR5 memory required for AMD’s sixth-generation EPYC chips.
“Powering the next generation of AI infrastructure requires deep collaboration across the industry. Integration across the full computing stack, from silicon to system to rack, is essential to accelerating AI innovation that translates into real-world impact at scale,” AMD CEO Dr. Lisa Su noted in a statement published by the company.
Samsung and AMD signed the AI memory deal shortly after NVIDIA CEO Jensen Huang commended HBM4 chips and announced a foundry partnership with the South Korean company. Huang announced the partnership during NVIDIA’S annual GTC conference, where the chip maker revealed its most innovative AI chip.
The Samsung-AMD Foundry Partnership
Samsung is already positioning itself as a major supplier of HBM4 for AMD’s AI processors. Discussions between the two firms explored opportunities for a foundry partnership through which the South Korean firm will offer contract chip production services for AMD’s next-generation products.
“Samsung and AMD share a commitment to advancing AI computing, and this agreement reflects the growing scope of our collaboration. From industry-leading HBM4 and next-generation memory architectures to cutting-edge foundry and advanced packaging, Samsung is uniquely positioned to deliver unrivaled turnkey capabilities that support AMD’s evolving AI roadmap,” Samsung Electronics Vice Chairman and CEO, Young Hyun Jun stated.
Previously, Samsung has supplied AMD with HBM chips. The company provided the HBM3E chips used in the company’s MI350X and MI355 X accelerators.
Recently, AMD agreed to supply Meta Platforms with AI chips valued at $60 billion for five years. Through the deal, the social media giant will purchase up to 10% of the chips from AMD. The U.S. chip maker signed a similar agreement with OpenAI last year.
What the Latest Deal Means for AI Race
The partnership between Samsung and AMD highlights growing competition among global chipmakers and the rush to secure long-term supplies of advanced memory. This is happening amid surging AI demand, which appears to be reshaping the chip industry and straining high-bandwidth memory supply.
Samsung is working to close the gap with competitors in the rapidly expanding HBM market. The company holds roughly 22% of the global HBM market, compared to SK Hynix’s 57%.
