Samsung and Broadcom Sign $200 Billion AI Chip Cooperation Agreement

Samsung Electronics has announced the signing of a strategic cooperation memorandum with Broadcom worth over $200 billion, valid through 2030. The agreement covers the production of logic chips using Samsung Foundry's advanced process nodes, development of next-generation HBM memory, and utilization of advanced packaging technologies. A key element will be the manufacturing of Broadcom's next-generation communication ASICs using Samsung's sub-2-nanometer process. The companies also plan to jointly develop high-speed HBM memory for AI accelerators and integrate compute chiplets with memory in a single package. For Samsung, the agreement is strategically significant, strengthening its position in contract semiconductor manufacturing (competing with TSMC) and the AI memory market (competing with SK hynix). The deal was announced during South Korean President Lee Jae-myung's visit to Silicon Valley for an AI summit.