AMD is in advanced talks with Samsung to utilize the company's 2nm technology to produce its next-gen AI CPUs and accelerators.
AMD Aims To Diversify Its 2nm Production Through Samsung Deal As TSMC All Booked Out Till 2028
Recently, AMD announced that its CPUs and GPUs for AI datacenters are gaining lots of orders, & supply tightness is a reality that they would have to live with in the years ahead.
Currently, AMD mainly relies on TSMC for making chips through the Taiwanese giant's advanced process and packaging technologies. So far, AMD's success has relied solely on TSMC, but AMD plans to diversify its chip-making capacity, and that's why it's already engaged in Advanced Talks with Samsung.
In a report by Korean outlet EDaily, it is stated that Samsung has already initiated discussions with AMD for its 2nm process technology. The report highlights that Samsung is quickly emerging as an alternative to existing TSMC customers. The talks are centered around orders of AMD's 2nm chips, which are to be made at Samsung using its manufacturing and production capabilities.
According to industry sources on the 7th, Samsung Electronics’ Foundry Division is recently advancing discussions with AMD regarding orders for 2-nanometer (nm) chips. It is reported that discussions regarding 2nm orders took place after AMD CEO Lisa Su visited Korea last March to tour Samsung Electronics’ Pyeongtaek foundry plant. Results are expected to materialize soon.
Machine Translated via EDaily
AMD's CEO, Dr. Lisa Su, already toured Samsung's Pyeongtaek Foundry back in March, which could've been the moment when AMD decided that yes, they could use Samsung to make their latest & greatest chips since their primary chip provider, TSMC, is already facing supply bottlenecks with their entire 2nm wafer supply booked till 2028.
At Samsung, AMD will primarily be making its next-gen 2nm CPUs, which include Venice and Verano. Venice will be the compute-optimized Zen 6 offering, while Verano will be a variant of Venice that is specifically designed for Agentic AI workloads such as inferencing. Samsung has already been named for the production of Tesla AI5 and AI6 chips alongside TSMC.
Meanwhile, TSMC has already confirmed AMD's Venice CCD as the first product made using its N2 "Nanosheet" process technology.
Previous reports have stated that Samsung is only being seen as a backup instead of an alternative to TSMC. Though the company produces 2nm GAA chips, current yields are said to be not on par with TSMC, but the AMD deal alongside Tesla will mark a major confidence booster for other customers. At the same time, Intel is also in the race of becoming a viable alternative to TSMC, with many customers racing behind its 14A, 18A-P, and EMIB technologies.
This ongoing diversification among companies, such as AMD, shows just how tight things are in the chip-making segment as customers are searching for every bit of supply they can get to meet the demand created by AI.
About the author: A Software Engineer by training and a PC enthusiast by passion, Hassan Mujtaba serves as Wccftech's Senior Editor for hardware section. With years of experience in the industry, he specializes in deep-dive technical analysis of next-generation CPU and GPU architectures, motherboards, and cooling solutions. His work involves not only breaking news on upcoming technologies but also extensive hands-on reviews and benchmarking.
Follow Wccftech on Google to get more of our news coverage in your feeds.
