AMD Partners with Samsung, Introduces 3nm Chips to Increase Market Share

It is quite expected that Advanced Micro Devices, Inc. (NASDAQ:AMD) would broaden its collaboration with Samsung Electronics Co. (OTC:SSNLF) in order to develop chip processing technology that operates on a 3-nanometer circuit.  

The two businesses have worked together for a significant amount of time on graphics processing units (GPUs) for smartphones and high-bandwidth memory (HBM) chips, both of which are essential for artificial intelligence devices.  

According to the Korea Economic Daily, analysts believe that this collaboration on 3nm node technology will assist Samsung in reducing the gap in market share that it now has with Taiwan Semiconductor Manufacturing Co (NYSE:TSM).  

AMD's Chief Executive Officer, Lisa Su, made the announcement during the imec ITF World 2024 conference in Belgium that the company intends to mass-produce next-generation chips utilizing 3nm Gate-All-Around (GAA) technology. In the present moment, Samsung is the only chipmaker that has successfully commercialized GAA-based 3nm chip processing technology.  

Particularly in light of the fact that TSMC's 3nm technology is already completely booked for customers such as Apple Inc. (NASDAQ:AAPL) and Qualcomm Inc. (NASDAQ:QCOM), Su's words have been seen as signifying the formalization of AMD's relationship with Samsung about its 3nm foundry.  

In addition to providing HBM chips and turnkey packaging services, the expanded relationship between AMD and Samsung includes an agreement that will be in place for a number of years and will involve the integration of AMD's Radeon graphics functionalities into Samsung's Exynos application processors.  

All of a sudden, AMD asserted that it controls 33 percent of the market for server CPUs. In the meantime, it is getting ready to present the "Turin" processors and a GPU roadmap that will follow the MI300 product line.  

Over the past year, the stock of AMD has increased by 37%. Invesco AI And Next Gen Software ETF (NYSE:IGPT) and iShares Semiconductor ETF (NASDAQ:SOXX) are two exchange-traded funds that provide investors with the opportunity to get exposure to the stock.  

Price Actions: At the time of the most recent check on Wednesday, AMD shares stood at $169.49, a decrease of 1.24% from their premarket price.  

stay turned for development