NVIDIA Acquisition Rumors Dismissed by Morgan Stanley as Strategically Flawed 
Google promotes ‘teacher approved’ apps for kids. Here’s what parents should know 
ASML Raises 2026 Revenue Outlook as AI Chip Demand Surges 
SK Hynix Shares Hit Record High Amid AI Memory Demand Surge 
Federal Judge Dismisses DOJ Lawsuit Attempting to Block Hawaii's Climate Case Against Oil Giants 
Morgan Stanley Warns Against Overestimating EV Demand Boost from Rising Oil Prices 
CATL Stock Hits Record High After Q1 2025 Earnings Surge 
Sam Altman Moves to Dismiss Punitive Damages in Sister's Sexual Abuse Lawsuit 
Asian Currencies Hold Steady Amid Iran Peace Talks and BOJ Rate Hike Uncertainty 
Oil Prices Dip as Middle East Peace Hopes Grow Amid Iran-U.S. Talks 
Australia's Job Market Holds Firm in March 2026 with Strong Full-Time Hiring 
U.S.-Iran Ceasefire Uncertainty Keeps Oil Prices Under Pressure 
China's Economy Shows Resilience Amid Global Headwinds in March 
Samsung Races to Deliver Next-Gen HBM4E Memory Samples to Nvidia 
Uber Bets Big on Autonomous Vehicles with $10 Billion Commitment 
China's New Home Prices Continue to Fall in March Despite Signs of Recovery in Major Cities 
Elon Musk's Terafab Foundry Courts Top Chipmaking Giants for AI Self-Sufficiency Push 
Samsung Electronics Co., the global memory chipmaking giant, has revealed a new strategic alliance with Tesla Inc. to manufacture the automaker's forthcoming Full Self-Driving (FSD) chips. Slated for inclusion in Tesla's Hardware 5 (HW 5.0) computers, the state-of-the-art chips, built on Samsung's 4-nanometer node, are expected to go into mass production within the next three to four years.
Previously, Tesla had chosen Taiwan Semiconductor Manufacturing Co. (TSMC) as its sole HW 5.0 auto chip production partner. However, Tesla plans to collaborate with both TSMC and Samsung or potentially rely solely on Samsung for the mass production of the fifth-generation auto chips.
This strategic shift arose after Samsung Group leader Lee Jay-yong discussed with Tesla Chief Executive Elon Musk to explore opportunities for strengthening their technological partnership. During their meeting at a Samsung research center in Silicon Valley, Lee presented Musk with favorable terms, including competitive contract prices, facilitating this new alliance.
Samsung has a history of supplying earlier versions of FSD chips to Tesla, supporting the production of various Tesla EV models such as the Model 3, Model 5, Model X, and Model Y. In addition to this collaboration, Samsung has experienced significant improvements in the yield of its 4-nm and 3-nm node processes, up to a 75% and 60% increase in yield, respectively.
To support its growing ambitions, Samsung is actively expanding its foundry capacity. This includes expanding its manufacturing footprint at the Pyeongtaek plant in Korea in 2022 and establishing a new plant in Texas, expected to be operational the following year. By 2027, Samsung aims to triple its global chipmaking capacity from its 2022 level.
The partnership between Samsung and Tesla marks a significant milestone in the advancement of autonomous driving technology, highlighting the concerted efforts of these industry leaders in driving innovation forward.
Photo: Tesla Fans Schweiz/Unsplash
