Samsung Rumoured to Start Making Chips for Nvidia

A week ago, Samsung reportedly won a contract to make chips for Apple’s upcoming iPhones using their latest 14nm FinFET technology. However, it seems that the South Korean manufacturer has been busy scooping up more contracts in the meantime.

The latest points to a “few million dollars” contract between Samsung and Nvidia, allowing both Samsung and GlobalFoundries to make 14nm chips in Korea as well as the US for Apple, Qualcomm and Nvidia as per the new contract. As previously reported, GlobalFoundries struck a deal with Samsung to replicate its 14nm FinFET technology.

“The latest agreement between Samsung and Nvidia is another positive factor lifting Samsung’s logic chip business unit. The timing looks good as increased foundry customers justify the Korean chip giant’s moves to find new revenue sources,” a source told Korean Times.

So why the rush to roll out small factor GPU chips? Easy. A GPU takes a lot of workload off the CPU and as we all know, smartphones are requiring new tech to handle better graphics while cutting down on power consumption. However, in order to achieve the perfect balance, a smaller form factor SoC is needed.

Looking at the partnership from another perspective reveals that Samsung and Nvidia are still not on the best of terms. Both companies are reportedly engaged in legal actions, but another source stated that the companies are more focused on business rather than their little disagreements.

“The Samsung-Nvidia deal means that there is no enemy and friend in businesses,”

Neither Samsung nor South Korean-based representatives for Nvidia wanted to shed more light on the new partnership, but stay tuned as we will keep you updated with more information as it unravels.

Thank you Korea Times for providing us with this information