A recent comment made by Nvidia CEO Jensen Huang has caused a stir in the tech industry, particularly benefiting Samsung as its shares saw a significant increase. Nvidia, known for its prominent role in the AI sector, has become a key player in the development of AI models with its cutting-edge chips.
Investors closely follow Huang’s statements for insights into the future of AI, which has led to fluctuations in the stock prices of various companies. Following Huang’s remarks at the Computex trade show in Taiwan, Samsung Electronics experienced a 2.8% surge in its shares in South Korea.
Huang expressed interest in Samsung’s high-bandwidth memory (HBM) chips, along with those produced by Micron Technologies. While acknowledging the quality of Samsung’s chips, he also highlighted the need for further engineering work to meet Nvidia’s standards.
Compared to its competitor SK Hynix, Samsung has been somewhat behind in the AI sector. However, Samsung is now intensifying its efforts to enhance its HBM chip supply, aiming to bridge the gap with its rivals. The company recently appointed a new head for its semiconductor division and secured a deal with Nvidia’s competitor, Advanced Micro Devices, for chip supply.
Despite the positive reception of Samsung’s chips, Huang emphasized the necessity of additional development work to meet Nvidia’s requirements. He refuted claims of performance issues with Samsung’s chips, stating that they do not fail in terms of heat and power consumption.
SK Hynix, Nvidia’s primary HBM chip supplier, has witnessed a surge in demand due to the increasing need for GPUs to support AI applications. The company reported nearly selling out its projected 2025 chip volume, resulting in a significant rise in its stock price over the past year.
While Samsung’s shares have also seen a modest increase, the company is striving to strengthen its position in the AI market by enhancing its chip offerings. With the tech industry evolving rapidly, partnerships and advancements in semiconductor technology are crucial for companies like Samsung to stay competitive.
