AGS NEWS – Samsung Electronics has unveiled plans to streamline its contract manufacturing operations, offering a consolidated service for clients to expedite the production of artificial intelligence (AI) chips.

By integrating its leading memory chip, foundry, and chip packaging services, Samsung aims to capitalize on the burgeoning demand for AI technologies.

According to Samsung, this unified approach reduces the typical production time for AI chips by approximately 20%.

ALSO READ: Former Samsung executive faces charges for stealing secrets to establish China factory

This initiative, presented at an event in San Jose, California, by Siyoung Choi, president of the foundry business, underscores Samsung’s commitment to harnessing the AI boom.

Choi highlighted projections that the global chip industry revenue could reach $778 billion by 2028, driven largely by the demand for AI chips.

Executive Vice President Marco Chisari noted that Samsung supports OpenAI CEO Sam Altman’s expectations of soaring demand for AI chips, aligning with reports of plans to expand chip manufacturing capabilities.

Despite previous concerns about potential conflicts of interest due to Samsung’s integrated business model encompassing memory chips, foundry services, and chip design, the company believes this comprehensive approach will strengthen its position amid surging AI chip demand.

ALSO READ: Russia denies recruiting Nigerian students for war in Ukraine in exchange for visa renewal

Samsung also emphasized advancements in chip architecture, including gate all-around (GAA) transistors, which enhance performance and reduce power consumption.

While competitors like TSMC also pursue GAA technology, Samsung asserts its leadership by commencing mass production of second-generation 3-nanometer chips using GAA later this year.

Samsung announced plans for its latest 2-nanometer chipmaking process tailored for high-performance computing chips, slated for mass production by 2027.