Samsung Electronics is shifting its production focus toward high-bandwidth memory (HBM) to capitalize on surging AI demand. The company will outsource commodity DDR5 and SSD module production to external partners, freeing up internal capacity for higher-margin HBM chips.
For its next-generation HBM4 memory, Samsung is considering a dual-track manufacturing approach. This strategy may involve using rival TSMC’s foundry services for the base die component, depending on specific customer requirements.
The move marks a significant departure from Samsung’s traditional vertically integrated business model. It underscores a growing reliance on industry partnerships to navigate the complexities of the advanced semiconductor market.