Samsung is currently one of the world’s biggest chip manufacturers and it’s looking to retain this position through partnerships with many major names. As per the latest update, the company has partnered with Tesla to produce 5nm chips for autonomous driving.
With the ongoing growth and increased adoption of electric vehicles in the market, and the shortage of chipset supply due to the COVID-19 pandemic, Samsung is seizing the opportunity to expand into the automobile business.
The new chipsets are reportedly in the Research & Development (R&D) phase at the Samsung Foundry Division at the moment and will be mounted directly on Tesla electric vehicles. As mentioned earlier, Samsung will be using the 5nm Extreme Ultraviolet (EUV) process for these chips, which currently only a few companies have, such as TSMC and Samsung.
Samsung is already a partner of Tesla for producing its current set of driving chips for the hardware 3.0 computers, though these chips are limited to the older 14nm technology. Upgrading to 5nm will be a major improvement for Tesla and a major business deal for Samsung, as 5nm chips are expensive and a scarce technology.
If the new development is successful, it would give Samsung quite an edge over one of its biggest industry rivals, TSMC (Taiwanese Semiconductor Manufacturing Company).