NVIDIA needs all the high-bandwidth memory HBM3E it can get. There's insatiable demand for its AI accelerators and it can't make them fast enough. It's primarily sourcing HBM3E chips from SK Hynix and even though Samsung has been in the running for some time now, its chips haven't yet been able to meet NVIDIA's requirements.
NVIDIA CEO Jensen Huang has kept Samsung's hopes alive for the better part of the year, publicly stating on more than one occasion that approval for Samsung's HBM3E chips is coming soon. He's said that yet again over the weekend, so the folks over at Suwon will keep their fingers crossed.
Samsung's wait for NVIDIA order might be ending soon
Huang has been very vocal in his praise of Samsung's HBM3E chips. He even personally visited Samsung's booth at NVIDIA's GTC 2024 conference and signed “Jensen approved” on the display installation for the HBM3E 12H memory chip. That happened in March 2024 yet no approval came until June where it was said once again that it would be forthcoming. Hopes were raised yet again in July 2024 but no approval materialized.
Speaking at a ceremony over the weekend, Huang once again suggested that Samsung may soon join NVIDIA's supply chain for HBM3E chips. He added that NVIDIA is working as fast as it can to certify Samsung's chips, with both 8H and 12H HBM3E chips under consideration. Industry watchers are once again hopeful that these remarks mean Samsung could ultimately clear this bottleneck and win a lucrative order from NVIDIA.
For Samsung, this approval can't come soon enough. The company's dominance in the memory chip segment is already under pressure from the Chinese memory makers for legacy products. It's unable to catch up with SK Hynix in the HBM3E race. Samsung's focusing more on HBM4 memory now to better capitalize on the next-generation standard.
