Will you join hands with Samsung Electronics' NVIDIA Opponent?"New opportunities may develop." [This is the news]

Nvidia CEO Jensen Huang said on the 7th (local time) that Samsung Electronics needed time to design and mass-produce high-bandwidth memory (HBM), hinting at a possible delay in the supply of the 5th generation HBM3E.

After CEO Hwang's remarks, negative prospects have been raised for the supply of fifth-generation HBMs, which has a rebound in Samsung Electronics' semiconductor business this year.

However, the partnership with Broadcom, which is emerging as a rival to Nvidia, is expected to develop a different situation than the Nvidia supply.

Broadcom is responsible for designing AI chips for big tech companies such as Google and Meta, playing a key role in reducing Nvidia's dependence.

Broadcom is likely to take advantage of Samsung Electronics' production capacity as it is taking a strategy that values reasonable prices and mass supply rather than "overspec" of high-performance HBMs.

In particular, Broadcom is growing in the AI semiconductor market with the interconnect technology and customized design capabilities needed to drive Large Language Model (LLM).

The fact that Nvidia's flagship artificial intelligence (AI) accelerator "Blackwell" has been experiencing defects since its launch is also likely to be a catalyst for Broadcom's growth in the customized AI semiconductor market.

Analysts say that Broadcom's AI chips, which are less expensive and more power-efficient, will encourage the de-(脫) Nvidia movement instead of Nvidia's latest AI chips, which cost a lot of investment.

With SK Hynix supplying most of its supplies to Nvidia and limited additional capacity, Samsung Electronics is likely to seize new growth opportunities through cooperation with Broadcom.

Against the backdrop of the AI infrastructure investment craze, Broadcom is showing a willingness to grow, anticipating hundreds of billions of dollars in additional sales annually.

Unlike Nvidia, collaboration with Broadcom, which prefers a reasonable approach, is expected to favor Samsung Electronics' expansion of the HBM market.

AI Anchor|Y-GO
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Screen Source|X@Broadcom

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