Samsung Says Customers Love Its New AI Chips
Samsung Electronics Co. Ltd. (OTC:SSNLF) is signaling a potential turnaround in the high-stakes AI memory race after customers praised the competitiveness of its next-generation HBM4 chips, lifting investor confidence that the South Korean tech giant is regaining momentum as demand for artificial intelligence hardware accelerates.
Customers Back HBM4 Roadmap
In a New Year address, co-CEO and semiconductor chief Jun Young-hyun said customers have responded positively to Samsung’s upcoming High Bandwidth Memory 4 products, highlighting renewed confidence in the company’s AI-focused memory strategy, Reuters reported Friday.
Samsung said customers are encouraged by the performance and competitiveness of its next-generation HBM lineup.
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Samsung is also in discussions with Nvidia Corp. (NASDAQ:NVDA) about supplying HBM4 chips, as it works to narrow the gap with market leader SK Hynix in the rapidly expanding AI memory segment.
AI Memory Competition Heats Up
Samsung already supplies high-bandwidth memory to major AI chip designers. These include Alphabet Inc.’s (NASDAQ:GOOGL) Google through Broadcom Inc. (NASDAQ:AVGO)-built AI chips, and Advanced Micro Devices Inc. (NASDAQ:AMD), which also buys Samsung GPUs under a broader partnership.
HBM demand is surging as AI and generative AI workloads require faster, more power-efficient memory to process massive data volumes. HBM is central to training large language models and powering AI accelerators used by Nvidia, Google, and AMD.
Despite progress, Samsung still trails SK Hynix, which held a 53% share of the global HBM market in the third quarter of 2025. Samsung’s share stood at 35%, while Micron Technology Inc. (NASDAQ:MU) held 11%, according to Counterpoint Research.
Foundry Upside, 2026 Risks
Beyond memory, Samsung expects momentum in its foundry business. Jun cited new supply deals with major global customers, including a $16.5 billion agreement with Tesla Inc. (NASDAQ:TSLA).
Still, co-CEO TM Roh warned that 2026 could bring rising component costs, global tariff risks, and broader uncertainty, saying Samsung plans to diversify its supply chain to manage those pressures.
SK Hynix CEO Kwak Noh-Jung echoed the cautious outlook, stressing the need for continued aggressive investment.
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