AlphAIAlphAI — Financial news for AI agents
thenews.com.pkOCT 182 min read$005930.KS

Samsung to use TSMC's 3nm process for Nvidia's next-gen AI memory chips

Samsung will use TSMC's 3nm process for Nvidia's next-gen AI memory chips, marking a shift from its in-house model. Nvidia requires TSMC's 3nm process for base dies and 6th-gen DRAM for core dies. Samsung accepted to secure its supply chain position but will keep its own processes for other products.

Original reporting
thenews.com.pk
Published Oct 18, 2026, 2:18 PM UTC
Analysis
AlphAI AI DeskAI-generated
Added to AlphAI Oct 18, 2026, 3:35 PM UTC. Informational, not investment advice.
How this was made
AlphAI summarizes source reporting and applies a structured AI analysis for relevance, timing, sentiment and ticker impact. Always verify material claims with the original publisher.
About AlphAI AI DeskScoring methodologyReport an issue
Samsung to use TSMC's 3nm process for Nvidia's next-gen AI memory chips — source image
Source · thenews.com.pk
Decision brief

The 30-second read

$005930.KSBullishLow
01

Why it matters

The deal signals growing demand for cutting‑edge process nodes in AI memory, potentially benefiting fab companies and reinforcing Nvidia's product roadmap.

02

Market read

The announcement could lift Samsung and TSMC shares as investors price in new high‑margin AI memory business, while Nvidia remains neutral.

03

What to watch

Potential cost premium of using TSMC versus Samsung's own process and the risk of supply bottlenecks.

Relevance 7/10Novelty 6/10Timing: immediate

Background

The article announces a strategic shift for Samsung, which historically used its own fabs for memory dies, now leveraging TSMC's leading‑edge 3nm technology to meet Nvidia's AI memory specifications.

Company-level read

Ticker impact

$005930.KSBullishHigh confidence
Context

Samsung Electronics agreed to use TSMC's 3nm process for Nvidia's next‑gen AI memory base dies, a new strategic partnership.

Expected impact

likely upward pressure as investors price in new high‑margin contract

Evidence & confidence

First disclosure of a major deal with TSMC and Nvidia; Samsung gains a premium‑tech source for a high‑growth segment.

$TSMBullishHigh confidence
Context

TSMC will provide its 3nm process for Samsung‑produced base dies for Nvidia's custom NVHBM chips.

Expected impact

likely supportive price action as the contract expands TSMC's AI‑related wafer business

Evidence & confidence

New contract with Samsung for Nvidia chips signals growing demand for TSMC's leading‑edge node.

$NVDANeutralMedium confidence
Context

Nvidia specified that its memory partners must use TSMC's 3nm process for the base dies of its upcoming NVHBM lineup.

Expected impact

minimal immediate effect; market already expects Nvidia to secure advanced packaging partners

Evidence & confidence

The article reports Nvidia's technical requirement, not a new financial transaction for Nvidia.

Market effects

Sector

Strengthens the AI‑hardware supply chain, highlighting demand for advanced nodes in memory and compute.

Regional

Boosts South Korean and Taiwanese fab sectors; may lift related semiconductor equities in Asia.

Global

Reinforces confidence in the AI memory market, a key growth driver for global tech stocks.

Counterpoint

What could challenge this read

The partnership could expose Samsung to TSMC capacity constraints, limiting upside.

Key entities

  • Company
    Samsung Electronics

    South Korean semiconductor giant entering a partnership with TSMC for Nvidia memory chips.

  • Company
    TSMC

    World's leading contract chipmaker providing 3nm process for the new AI memory base dies.

  • Company
    Nvidia

    Designer of the upcoming NVHBM AI memory, setting technical requirements for its partners.

Read at source← All news

Also covered by

1 outlet

Related articles

OCT 18
Low

Faces Up to 20 Years: California CEO in Nvidia Server Case

Greg Lui, CEO of a California tech firm, was arrested for allegedly exporting $300M in Nvidia chips to China via Malaysia and Singapore using false paperwork. Charges include conspiracy, smuggling, and money laundering, with a potential 20-year sentence. The DOJ and FBI are investigating. Nvidia chips are subject to U.S. export restrictions.

gritdaily.com2 min
OCT 18
$TSMHighAI 8/10

TSMC’s (TSM) Record AI Demand Comes With a Growing Cost

TSMC (TSM) reported Q3 revenue of $46.7B, up 41.2% YoY, with AI-related chips driving 68% of revenue. Net income rose 68.7%. The company forecasts Q4 revenue of $52.3B-$54.3B and full-year growth of 44%. TSMC plans significant capital expenditure, including $60B-$64B in 2026 and $265B in US expansion, which may pressure margins. The stock is trading at 33.67x trailing earnings and 21.41x forward earnings.

insidermonkey.com3 min
OCT 18
$TSMMedAI 8/10

Taiwan Semiconductor’s (TSM) Profit Rose 69% Last Quarter. Is the Stock Still Cheap?

Taiwan Semiconductor (TSM) reported record Q3 results on October 15, with revenue of $46.72B and a 68.7% net profit increase. The company's stock has risen 16.21% over six months. TSM manufactures chips for major tech firms like Nvidia and Apple, operating with a 66.4% gross margin. The company's valuation is 21.41 times expected earnings, reflecting growth expectations. Hedge fund ownership increased in Q2 2026.

insidermonkey.com2 min