TLDR:
- Nvidia CEO Jensen Huang confirmed Samsung is manufacturing the Groq LP30 AI chip using its 4-nanometer process.
- Samsung shares climbed as much as 5%, outpacing the broader South Korean market, which rose just 2.7% on Tuesday.
- Analysts at Heungkuk Securities project Samsung’s foundry division could reach breakeven by late 2027 despite headwinds.
- AMD CEO Lisa Su is set to meet Samsung Chairman Jay Y. Lee in South Korea to discuss semiconductor cooperation on Wednesday.
Samsung Electronics shares surged as much as 5% on Tuesday after Nvidia CEO Jensen Huang confirmed the South Korean company was manufacturing Nvidia’s newest AI chips.
Huang announced at Nvidia’s GTC developer conference in California. The news shifted market sentiment around Samsung’s long-troubled foundry division.
Analysts now believe the unit could recover as early as next year. Samsung shares settled at 196,800 won, up 4.3%, in early trading on Tuesday.
Samsung Foundry Gains Momentum From Nvidia’s GTC Conference
Samsung’s foundry division has endured years of mounting financial losses. The unit has posted billions of dollars in annual losses, straining the broader company.
However, Nvidia’s public acknowledgment at GTC changed the conversation for investors. Markets responded quickly once Huang’s remarks circulated widely.
At the event, Huang unveiled Nvidia’s new AI inference processor built on Groq chip startup technology. He credited Samsung directly for manufacturing the Groq LP30 chip.
Huang stated, “I want to thank Samsung who manufactures the Groq LP30 chip for us and they’re cranking as hard as they can.” He further confirmed the chips were already in production and would ship in the second half of 2026.
Samsung also displayed the Nvidia chips produced using its 4-nanometer manufacturing process at the conference. That demonstration added further confidence in Samsung’s technical standing.
The 4nm process is regarded as highly competitive across the global foundry market. It places Samsung alongside leading manufacturers in terms of production advancement.
Analyst Sohn In-joon of Heungkuk Securities said the foundry unit could reach breakeven later next year. However, he noted that weak mobile phone demand could still slow recovery.
Rising memory chip prices have been suppressing demand from that segment. Therefore, while the outlook is improving, some headwinds remain in place.
AMD CEO Lisa Su to Meet Samsung Chairman Jay Y. Lee in South Korea
Beyond the Nvidia development, another notable meeting has drawn industry attention. Advanced Micro Devices CEO Lisa Su is set to meet Samsung Chairman Jay Y. Lee on Wednesday.
The meeting will take place in South Korea, according to media reports. Discussions are expected to cover memory chips and logic semiconductor cooperation.
Samsung’s foundry division already counts Tesla and Apple among its major customers. Adding Nvidia, even through the Groq partnership, strengthens that client base considerably.
Meanwhile, a potential AMD collaboration could further expand Samsung’s foundry footprint. Together, these developments suggest a more active commercial pipeline ahead.
The broader South Korean stock market also rose 2.7% on Tuesday. Samsung’s gains outpaced the overall index, reflecting investor confidence specific to the company.
The Nvidia confirmation combined with the AMD meeting prospects pushed sentiment higher. Market watchers are now tracking both fronts closely for further developments.
Samsung’s foundry business continues to face pressure from mobile demand and memory pricing cycles. That said, the Nvidia partnership represents a concrete win for the division’s recovery narrative.
Shipment timelines in the second half of 2026 will be closely monitored by analysts. For now, the market has responded with a clear and measurable show of confidence.
The post Samsung Shares Jump 5% After Nvidia CEO Confirms New AI Chip Partnership appeared first on Blockonomi.
Source: https://blockonomi.com/samsung-shares-jump-5-after-nvidia-ceo-confirms-new-ai-chip-partnership/
