SAMSUNG Orders 2.5D Equipment for NVIDIA Partnership

As reported by South Korean media outlet The Elec, Samsung has recently placed significant orders for state-of-the-art 2.5D packaging equipment, coinciding with the introduction of its innovative "SANIT" brand for 3D advanced packaging technology. This strategic move is aimed at augmenting Samsung's advanced packaging capabilities, positioning the company to effectively compete with prominent AI chip manufacturers, including NVIDIA, for advanced packaging contracts.

The report discloses that Samsung has successfully acquired 16 sets of cutting-edge packaging equipment from the Japanese firm Shin-Kawasaki Corporation. As of now, seven sets of equipment have been received, with the possibility of additional orders being considered to meet growing demand. Samsung's objective is to showcase its packaging and High Bandwidth Memory (HBM) capabilities, intending to capture the attention and interest of NVIDIA. Notably, NVIDIA is currently grappling with supply limitations, specifically in response to the extensive demands of the artificial intelligence market, attributing the shortfall to the constrained capacity of Taiwan Semiconductor's CoWoS advanced packaging.

In response, NVIDIA has articulated its aspiration to generate revenue exceeding $300 billion from the AI sector by 2027. Recognizing the critical importance of a resilient and stable supply chain, NVIDIA's forthcoming GPU, codenamed Blackwell, may allocate a portion of its HBM3 and 2.5D packaging orders to Samsung, strategically diversifying its supplier base away from existing partners such as Taiwan Semiconductor.

A successful collaboration between Samsung and NVIDIA could not only enhance the performance metrics of Samsung's memory and advanced packaging divisions but also potentially attract orders from industry players such as AMD and Tesla. The realization of these opportunities is contingent upon Samsung's capacity to address the substantial demands of the market, especially in meeting customer requirements across semiconductor production, advanced packaging, and memory technologies.