Samsung Electronics has signed a memorandum of understanding (MOU) with U.S. chip designer Broadcom to expand their strategic partnership across memory chips, contract manufacturing, and advanced packaging, with the collaboration expected to exceed $200 billion through 2030.
The agreement marks one of Samsung’s largest long-term semiconductor partnerships and strengthens its effort to expand its foundry business as competition intensifies in the artificial intelligence semiconductor market. The five-year collaboration centers on next-generation AI infrastructure, combining Broadcom’s custom chip design capabilities with Samsung’s advanced manufacturing technologies.
Partnership Targets AI Infrastructure Growth
Announced on July 25, 2026, during the AI Summit at The Midway in San Francisco, the agreement brings together Samsung’s capabilities in memory, foundry, logic, and advanced packaging with Broadcom’s expertise in AI and connectivity technologies.
Under the agreement, Samsung will manufacture Broadcom products using its 2-nanometer and smaller process technologies. The partnership also extends to advanced packaging based on Samsung’s 2nm process, including 2.3D and 2.5D integration, aimed at delivering higher-performance and more power-efficient AI and networking chips.
On the memory side, Samsung will supply advanced memory solutions, including High Bandwidth Memory (HBM), to support Broadcom’s next-generation AI accelerators.
The next five years of cooperation will also leverage Broadcom’s expertise in designing application-specific integrated circuits (ASICs), specialized chips developed for specific computing tasks, alongside Samsung’s manufacturing capabilities.
Samsung said the expanded collaboration includes production of Broadcom’s next-generation Wireless Broadband Communications (WBC) chips, designed for high-speed data transfer, using its sub-2nm manufacturing technology.
Companies Highlight AI Semiconductor Collaboration
Young Hyun Jun, Vice Chairman and CEO of Samsung Electronics’ Device Solutions Division, emphasized the importance of integrated semiconductor technologies for the AI industry.
“AI is driving unprecedented demand for tightly integrated semiconductor technologies spanning memory, logic and advanced packaging. By expanding our collaboration with Broadcom across these critical technologies, we look forward to delivering greater value to customers while advancing the AI infrastructure of the future.”
Charlie Kawwas, President of Broadcom’s Semiconductor Solutions Group, said the collaboration reflects the growing need for closer cooperation across the semiconductor supply chain.
“As AI infrastructure continues to scale, close collaboration across the semiconductor ecosystem becomes increasingly important. By combining Samsung’s memory and foundry expertise with Broadcom’s AI and connectivity leadership, we aim to continue to deliver technologies that power the next generation of AI infrastructure.”
Samsung also stated: “The expanded collaboration … reflects Samsung’s focus on supporting customers with end-to-end semiconductor technologies across an increasingly diverse range of AI and high-performance computing applications.”
Boost for Samsung’s Foundry Ambitions
The Broadcom agreement represents a major win for Samsung’s contract chip manufacturing business as it seeks to narrow the gap with industry leader Taiwan Semiconductor Manufacturing Co. (TSMC).
Securing long-term production commitments from one of the world’s leading custom AI chip designers is expected to improve utilization of Samsung’s advanced fabrication facilities while strengthening its position in the rapidly expanding market for AI semiconductors.
The partnership comes as major technology companies increasingly develop custom AI accelerators instead of relying exclusively on general-purpose graphics processors, fueling demand for specialized chip design and manufacturing partnerships.
Samsung has been pursuing additional advanced foundry customers as it expands its AI semiconductor business. Last month, co-CEO and head of the chip division Jun Young-hyun said he discussed next-generation foundry cooperation with Nvidia CEO Jensen Huang, including future HBM4E and HBM5 memory products.
The company has also said it expects to secure additional orders for its 2nm manufacturing technology following discussions with major technology companies. Last year, Samsung signed a $16.5 billion contract to manufacture logic chips for electric vehicle maker Tesla.
The Broadcom agreement further reinforces South Korea’s broader strategy to strengthen its position in the global AI semiconductor industry. The announcement coincided with South Korean President Lee Jae Myung’s visit to Silicon Valley for an AI summit, where multiple technology partnerships involving South Korean companies were unveiled.