[News] Samsung Reportedly Unable to Supply HBM3E to NVIDIA in 2024 as Gap with SK hynix Widens

Korean memory giant Samsung has been working hard to prepare for supplying HBM3E to NVIDIA, but now it appears almost impossible to supply to NVIDIA in 2024. According to Wccftech‘s report, Samsung failed to secure a position in NVIDIA’s supply chain because it couldn’t meet NVIDIA’s qualification tests and HBM standards.

The Wccftech report states that Samsung had acknowledged this setback in an investor’s note before, though the company was still optimistic about a potential breakthrough. However, a new report from Korean media outlet Daily Korea indicates that Samsung’s hopes of supplying HBM3E to NVIDIA in 2024 now appear almost impossible, though prospects for beginning supply in 2025 seem more promising

With Samsung unable to supply HBM3E to NVIDIA in 2024, the Wccftech report notes that Samsung’s longtime competitor SK hynix has gained the upper hand in the HBM market.

According to the report, sources indicate that Samsung fell short of NVIDIA’s sampling criteria primarily because SK hynix has elevated industry standards through advanced technologies like MR-MUF.

The Wccftech report points out that while Samsung previously dominated both HBM and NAND markets, it’s now losing ground as competitors SK hynix and Micron are already supplying components to major industry players.

In the NAND segment, the Wccftech report mentions that SK hynix has taken a leading position by becoming the world’s first manufacturer to introduce a 321-layer+ NAND solution.

Meanwhile, according to a report from Business Korea, Samsung is working to regain its competitive edge. The company has announced it is developing 400-layer NAND technology, with plans to present detailed specifications at the International Solid-State Circuits Conference (ISSCC) in February 2025 in the U.S.. Mass production of this advanced NAND is scheduled to begin in the second half of 2025.

There are still some positive outlook for Samsung despite current challenges. The company is set to begin HBM3E supply to major customers like NVIDIA starting Q1 2025. Also, the Wccftech report suggests Samsung could regain its dominance through the development of next-generation HBM4 technology.

However, the same report points out that Samsung faces increasing pressure, noting SK hynix’s partnership with TSMC for HBM4 development. This means Samsung will need to accelerate its efforts to restore its market dominance.

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(Photo credit: Samsung)