Samsung and Broadcom deepen AI chip pact valued at more than $200 billion through 2030

Samsung Electronics said it struck a pact with U.S. chip designer Broadcom to widen cooperation across memory chips, contract chip making, and advanced packaging, with collaboration envisaged to exceed $200 billion until 2030, Reuters reported from Seoul. Winning long-term production commitments from Broadcom, one of the world's leading custom AI chip designers, could boost utilisation at Samsung's advanced manufacturing facilities as the industry races to supply AI chips. Samsung said the next five years of collaboration will combine Broadcom's expertise in designing application-specific integrated circuits with Samsung's manufacturing capabilities. The deal provides for Broadcom's next-generation communications chips, designed for high-speed data transfer, to be made with Samsung's sub-2-nanometre process technology, Samsung said. The two will also collaborate on next-generation high-bandwidth memory products. The partnership could help strengthen Samsung's foundry business as it seeks to narrow the gap with industry leader TSMC. Samsung said the expanded collaboration reflects its focus on supporting customers with end-to-end semiconductor technologies across AI and high-performance computing applications. Last year, it won a $16.5-billion contract to make logic chips for EV maker Tesla.