Tesla and Samsung Ink $16.5 Billion Deal for Next-Gen AI Chips
42 Sources
[1]
Tesla signs $16.5B deal with Samsung to make AI chips
Tesla has signed a $16.5 billion deal to get its next-generation chips from Samsung. "Samsung's giant new Texas fab will be dedicated to making Tesla's next-generation AI6 chip," Elon Musk posted on X late Sunday evening. "The strategic importance of this is hard to overstate." Tesla's AI6 (AKA
[2]
Samsung Secures Tesla AI Chip Deal For $16.5 Billion, Production Set For Texas
Samsung has secured a renewed partnership to make AI chips for Tesla cars in a deal that's worth $16.5 billion. The order was first spotted within a regulatory finding late on July 27, with the deal set for an unnamed consumer tech company. Elon Musk, Tesla's CEO, soon posted on X to say the deal
[3]
Samsung bags $16.5B next-gen chip build contract with Tesla
Musk: 'I will walk the line personally to accelerate the pace of progress' Samsung Electronics has scored a $16.5 billion contract to make the silicon to power Tesla's next-gen self-driving computer hardware. The firm is set to produce this from a new fab it is building in Texas, according to
[4]
Musk says Tesla, Samsung sign $16.5 billion chip supply deal
SEOUL, July 28 (Reuters) - Tesla (TSLA.O), opens new tab CEO Elon Musk said the U.S. automaker had signed a $16.5 billion deal to source chips from Samsung Electronics (005930.KS), opens new tab, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing
[5]
Musk says Tesla, Samsung Electronics sign $16.5 billion chip supply deal
SEOUL, July 28 (Reuters) - Tesla (TSLA.O), opens new tab CEO Elon Musk said the U.S. automaker had signed a $16.5 billion deal to source chips from Samsung Electronics (005930.KS), opens new tab, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing
[6]
Musk says Tesla, Samsung Electronics sign chip supply deal
SEOUL, July 28 (Reuters) - Tesla CEO Elon Musk said on Monday that the U.S. automaker has signed a deal to source chips from Samsung Electronics (005930.KS), opens new tab, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing business. On Saturday, Samsung
[7]
Samsung Elec signs chip supply deal with Tesla, sources say
SEOUL, July 28 (Reuters) - Samsung Electronics (005930.KS), opens new tab has signed a deal to supply chips to Tesla Inc (TSLA.O), opens new tab, two people briefed about the matter told Reuters on Monday, in a significant boost to the South Korean tech giant's loss-making contract manufacturing
[8]
Musk's Tesla signs $16.5 billion chip supply deal with Samsung
SEOUL, July 28 (Reuters) - Tesla (TSLA.O), opens new tab CEO Elon Musk said the U.S. automaker had signed a $16.5 billion deal to source chips from Samsung Electronics (005930.KS), opens new tab, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing
[9]
Tesla-Samsung $16.5 billion supply deal may spur chipmaker's US contract business
July 28 (Reuters) - Tesla (TSLA.O), opens new tab has signed a $16.5 billion deal to source chips from Samsung Electronics (005930.KS), opens new tab, a move that could bolster the South Korean tech giant's unprofitable contract business but is unlikely to help Tesla sell more EVs or roll out
[10]
Samsung Electronics shares retreat after Tesla deal, as challenges remain
Seoul, July 29 (Reuters) - Shares in Samsung Electronics (005930.KS), opens new tab came under pressure on Tuesday, following a powerful rally the previous day after the South Korean technology company clinched a $16.5 billion deal to supply artificial intelligence chips to Tesla (TSLA.O), opens
[11]
Samsung says tariff agreement reduces uncertainty, expects Tesla deal to boost orders
SEOUL, July 31 (Reuters) - Samsung Electronics (005930.KS), opens new tab said a trade deal that will see Washington charge 15% tariffs on imports from South Korea reduces uncertainty, as it forecast more major chip orders after signing a $16.5 billion deal with Elon Musk's Tesla (TSLA.O), opens
[12]
Samsung Electronics shares extend gains after Tesla deal, but challenges remain
Seoul, July 29 (Reuters) - Shares in Samsung Electronics (005930.KS), opens new tab eked out small gains on Tuesday, following a sharp rally the previous day after the South Korean technology company clinched a $16.5 billion deal to supply artificial intelligence chips to Tesla (TSLA.O), opens new
[13]
Samsung says trade deal reduces uncertainty, sees more chip orders after Tesla
SEOUL, July 31 (Reuters) - Samsung Electronics (005930.KS), opens new tab said on Thursday a trade deal that will see Washington charge 15% tariffs on imports from South Korea reduces uncertainty and it forecast major chip orders after signing a $16.5 billion deal with Tesla (TSLA.O), opens new
[14]
Samsung says tariff agreement reduces uncertainty, expects boost from Tesla deal
SEOUL, July 31 (Reuters) - Samsung Electronics (005930.KS), opens new tab said a trade deal between South Korea and Washington will help to alleviate business uncertainty, as the technology giant forecast more major chip orders after signing a $16.5 billion deal with Elon Musk's Tesla (TSLA.O),
[15]
Samsung lands $16.5 billion chip contract with Tesla
Serving tech enthusiasts for over 25 years. TechSpot means tech analysis and advice you can trust. What just happened? Samsung Electronics has landed a landmark $16.5 billion deal to manufacture semiconductor chips for Tesla, a move that could reshape the competitive landscape in advanced
[16]
Musk announces Tesla, Samsung Electronics chip supply deal
The big picture: Samsung had announced Saturday that it had struck a $16.5 billion supply agreement, but it didn't name the company. * The announcement comes after Samsung, one of the world's largest memory chip makers acknowledged last year that it had fallen behind in the AI chips war. Driving
[17]
Tesla signs massive deal with Samsung to provide chips
Why it matters: The deal gives the Austin-based car company a steady supply of critical technology -- and furnishes Samsung with the big dependable customer it had been seeking. * The chip manufacturer had paused construction on its massive Taylor plant -- due to open next year -- as it sought a
[18]
Musk hails $16.5bn Samsung deal to supply Tesla with AI chips
Samsung has agreed a $16.5bn (£12.3bn) deal to manufacture artificial intelligence chips for Tesla, in a move hailed by Elon Musk on Monday. The South Korean tech company announced the contract with an unnamed client in a regulatory filing, with Tesla's chief executive giving further details on
[19]
AI6 chip deal with Samsung signals Tesla's plan to scale AI across its entire product line
Samsung's Texas fab will manufacture the Tesla chips, which are described as a flexible platform Tesla has entered into a $16.5 billion agreement with Samsung to manufacture its upcoming AI6 chip, which will be used in wide range of AI-driven applications. The deal, which was disclosed in a South
[20]
Tesla signs $16.5 billion AI chip deal with Samsung
Samsung didn't build a $40 billion chip plant in Texas to let it sit empty. Now, Elon Musk is giving it something to do. Tesla just signed a $16.5 billion, multiyear deal with Samsung to manufacture the company's coming AI6 chips, the latest iteration of the custom silicon that powers Tesla's
[21]
Elon Musk confirms Tesla has signed a $16.5 billion chip contract with Samsung Electronics
Samsung Electronics has entered into a $16.5 billion contract for supplying semiconductors to Tesla, based on a regulatory filing by the South Korean firm and Tesla CEO Elon Musk's posts on X. The memory chipmaker, which had not named the counterparty, mentioned in its filing that the effective
[22]
Elon Musk's Tesla signs €14 billion chip deal with Samsung Electronics
Elon Musk confirmed in a post on X that the South Korean giant's US-based foundry will produce chips used in Tesla's self-driving cars, a record-breaking deal for both Samsung and American chipmaking. A Samsung manufacturing facility in Texas will produce the newest generation of an advanced
[23]
Tesla signs $16.5 billion deal with Samsung to make AI chips
Tesla CEO Elon Musk said late on Sunday that Samsung's new chip factory in Taylor, Texas would make Tesla's next-generation AI6 chip. This could re-energize Samsung's project, which has faced long delays because the company had trouble retaining and attracting major clients. Samsung shares on
[24]
Samsung to Make Tesla's AI6 Chips at Upcoming Texas Facility | AIM
Samsung Electronics has secured a ₩22.76 trillion (~$16.5 billion) contract to manufacture advanced 2-nanometer semiconductors, according to a regulatory filing by the South Korean tech firm. While Samsung has not officially named Tesla in its filing, it has revealed that the deal is with a "large
[25]
Tesla and Samsung team up on AI chips
This partnership is a huge vote of confidence in Samsung's advanced chip-making capabilities as it seeks to challenge the dominance of rival TSMC. Elon Musk announced Sunday that Tesla has secured a semiconductor chip supply deal with Samsung Electronics for its AI chips, following Samsung's
[26]
Elon Musk says Samsung's new Texas fab will be dedicated to making Tesla's next-gen AI6 chips
TL;DR: Samsung secured a $16.5 billion foundry contract to manufacture Tesla's next-generation AI6 chips at its new Texas facility, highlighting a strategic partnership. Elon Musk emphasized his personal involvement to accelerate production, marking a significant win for Samsung over competitors
[27]
Elon Musk says new Samsung plant will make Tesla AI chips
Tesla CEO Elon Musk said a new Samsung plant in Texas will be devoted to making the next generation of semiconductors for the electric vehicle (EV) company as it pushes the needle on artificial intelligence (AI). In a Sunday post on X, the social media platform he purchased in 2022, Musk said
[28]
Elon Musk says Tesla, Samsung Electronics sign chip supply deal - The Economic Times
Tesla has signed a major chip supply deal with Samsung Electronics, reportedly worth $16.5 billion through 2033. The move aims to support Samsung's struggling contract chip-making business as it faces tough competition from TSMC. Analysts say the deal could reduce losses and strengthen South
[29]
Samsung says tariff agreement reduces uncertainty, expects Tesla deal to boost orders
Samsung Electronics anticipates increased chip orders following a $16.5 billion deal with Tesla, despite reporting a significant drop in second-quarter operating profit due to AI chip delays and export restrictions. A new U.S. semiconductor factory in Texas is slated to begin production in 2026.
[30]
Tesla's Samsung Chip Deal Is "Likely" Worth More Than $16.5 Billion, Says Musk As He Confirms The Affair
This is not investment advice. The author has no position in any of the stocks mentioned. Wccftech.com has a disclosure and ethics policy. Tesla CEO Elon Musk has confirmed that his firm will use Korean technology giant Samsung's chip manufacturing plant in Taylor, Texas, to produce its
[31]
Tesla Stock Is Climbing Higher Monday: What's Going On? - Tesla (NASDAQ:TSLA)
Tesla, Inc. TSLA shares are trading higher Monday after the company announced a $16.5 billion artificial intelligence (AI) chips deal with Samsung. What To Know: According to the Financial Times, Samsung Electronics secured an eight-year, $16.5 billion contract to produce Tesla's next-generation
[32]
Taiwan Semiconductor Stock Slips As Samsung Scores $16.5 Billion Tesla Chip Deal - Taiwan Semiconductor (NYSE:TSM)
Taiwan Semiconductor Manufacturing Co TSM stock is trading lower on Monday after Tesla Inc TSLA CEO Elon Musk confirmed signing a $16.5 billion chip manufacturing deal with the Taiwanese contract chipmaker rival Samsung Electronics Co SSNLF. Musk tweeted that Samsung will build the EV giant's
[33]
Samsung Electronics Shares Fall 2.54% Following Tesla's $16.5 Billion AI Chip Manufacturing Agreement - Samsung Electronics Co (OTC:SSNLF), Tesla (NASDAQ:TSLA)
Samsung Electronics Co. Ltd. SSNLF shares declined 2.54% on Tuesday morning on the South Korean exchange following Tesla Inc.'s TSLA confirmation of a $16.5 billion chip manufacturing partnership. Shares dropped from 70,800 won to 69,000 won before recovering to 70,400 won ($50.62). Tesla CEO Elon
[34]
Tesla's Samsung Deal A 'Valuable Opportunity' To Gain Real-World Experience That TSMC Wouldn't Have Allowed -- Experts React To $16.5 Billion Agreement - Samsung Electronics Co (OTC:SSNLF), Intel (NASDAQ:INTC)
Elon Musk-led Tesla Inc.'s TSLA multibillion-dollar chip partnership with Samsung Electronics Co. SSNLF has sparked strong commentary from some of tech's most vocal investors and analysts -- and they see big implications for AI, autonomy and the future of manufacturing. What Happened: On Monday,
[35]
Samsung's Chip Profits Crash 94% -- AI Demand, Tesla Deal, HBM3E Ramp Offer Hope For 2H Comeback As Trump Hits South Korea With 15% Tariff - Samsung Electronics Co (OTC:SSNLF), Tesla (NASDAQ:TSLA)
Samsung Electronics Co. Ltd. SSNLF has projected a gradual second-half recovery for its semiconductor business after second-quarter operating profit at the division plunged 93.84% from a year earlier, driven by U.S. export restrictions on advanced chip sales to China and inventory
[36]
Why Tesla Stock Jumped Today | The Motley Fool
Tesla signed a major deal with Samsung to manufacture its next-generation AI6 chips. Tesla and Samsung's $16.5 billion deal will see the South Korean electronics giant manufacture Tesla's chips, producing them in its new factory in Texas. CEO Elon Musk said on X that, along with producing the
[37]
Musk's Tesla signs $16.5 billion chip supply deal with Samsung
SEOUL -- Tesla CEO Elon Musk said the U.S. automaker had signed a US$16.5 billion deal to source chips from Samsung Electronics, a move expected to bolster the South Korean tech giant's loss-making contract manufacturing business. Samsung shares soared nearly seven per cent after news of the deal
[38]
Samsung says tariff agreement reduces uncertainty, expects boost from Tesla deal
SEOUL -- Samsung Electronics 005930.KS said a trade deal between South Korea and Washington will help to alleviate business uncertainty, as the technology giant forecast more major chip orders after signing a US$16.5 billion deal with Elon Musk's Tesla. U.S. President Donald Trump said the U.S.
[39]
Samsung Signs $16.5 Billion Deal to Make AI Chips for Tesla in Texas; Shares Rally -- Update
Samsung Electronics will manufacture artificial-intelligence chips for Tesla in Texas under a $16.54 billion multiyear deal, a major win for its U.S. foundry business that sent shares of South Korea's largest company sharply higher. The technology giant said in a regulatory filing Monday that the
[40]
Samsung to build Tesla's next-gen FSD chip in $16.5bn deal
As global demand for high-performance chips accelerates, especially in the fields of artificial intelligence and autonomous driving, chipmakers are battling for dominance in next-generation semiconductor manufacturing. In this race, has just secured a major win. The South Korean tech giant has
[41]
Samsung Electronics shares retreat after Tesla deal, as challenges remain
Seoul (Reuters) -Shares in Samsung Electronics came under pressure on Tuesday, following a powerful rally the previous day after the South Korean technology company clinched a $16.5 billion deal to supply artificial intelligence chips to Tesla. Analysts said the deal could bolster the technology
[42]
Samsung signs $16.5 bn chip deal with Tesla to revive its foundry business
Samsung has been facing tough competition in the foundry space, especially from rivals like TSMC. Samsung Electronics has secured a $16.5 billion chip supply deal with Tesla, a move that could boost its struggling contract chip manufacturing business. The South Korean tech giant announced the deal
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Tesla has signed a major deal with Samsung Electronics to produce next-generation AI chips for its vehicles and other products, potentially revitalizing Samsung's chip manufacturing business.
Tesla and Samsung Forge Landmark Chip Deal
In a significant move for both the automotive and semiconductor industries, Tesla has signed a $16.5 billion deal with Samsung Electronics to produce next-generation AI chips. The agreement, announced by Tesla CEO Elon Musk, will see Samsung's new Texas fabrication plant dedicated to manufacturing Tesla's AI6 chip
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Source: The Hill
Strategic Importance and Scope
Musk emphasized the strategic importance of this partnership, stating, "The strategic importance of this is hard to overstate"
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. The deal, set to run through 2033, is not just limited to the initial $16.5 billion. Musk indicated that the actual output could be "several times higher," suggesting a potentially more extensive collaboration between the two tech giants3
.AI6 Chip and Its Applications
The AI6 chip, also known as Hardware 6, is Tesla's ambitious project for an all-in-one chip design. It's intended to power various Tesla products, from the Full Self-Driving (Supervised) driver assistance system to the Optimus humanoid robots, and even high-performance AI training in data centers
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Source: Dataconomy
Samsung's Texas Fab and Production Timeline
The chips will be produced at Samsung's new fabrication plant in Taylor, Texas. While the facility has faced delays and is now expected to open in 2026, this deal could reinvigorate the project
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. Although no specific timeline for AI6 chip production has been provided, industry analysts speculate it could begin in 2027 or 20284
.Musk's Personal Involvement
In an unusual move, Musk has committed to personal involvement in the production process. He stated, "I will walk the line personally to accelerate the pace of progress," highlighting the importance of this partnership to Tesla
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.Related Stories
Impact on Samsung's Business
This deal is a significant boost for Samsung, which has been struggling in the contract chip manufacturing market. The company currently holds only 8% of the global foundry market, far behind industry leader TSMC's 67%
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. The agreement is expected to help reduce losses in Samsung's foundry business, which were estimated to exceed 5 trillion won ($3.6 billion) in the first half of the year5
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Source: Benzinga
Broader Implications
The deal could have wider implications for the semiconductor industry and international trade. It comes at a time when South Korea is seeking U.S. partnerships in chips and shipbuilding, potentially influencing ongoing trade talks between the two countries
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.As the automotive industry continues to integrate more advanced AI and self-driving capabilities, this partnership between Tesla and Samsung underscores the growing importance of cutting-edge semiconductor technology in the future of transportation.
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