Samsung Electronics has started mass production of its next-generation high-bandwidth memory (HBM4) chips, designed to meet the growing demands of artificial intelligence (AI) applications.
The company described the milestone as an “industry-first” achievement, positioning Samsung as an early leader in the HBM4 market. The chips are expected to supply major AI hardware makers, including U.S.-based Nvidia, to support faster, high-capacity data processing worldwide.
Samsung officially announced on Thursday that large-scale production of HBM4 chips has commenced. Commercial shipments to key customers have already begun, marking a significant step in the global race to equip AI data centers with more powerful memory components.
The new HBM4 chips reportedly exceed previous generation models in processing speed by more than 40 percent, addressing the performance demands of modern AI workloads.
The launch comes as AI technologies such as OpenAI’s ChatGPT fuel a global surge in AI data center construction. As companies compete to expand computing capabilities, the need for faster, more efficient memory chips has intensified, prompting both Samsung and domestic rival SK Hynix to accelerate HBM4 production.
Samsung has already shipped HBM4 products to primary customers, with Nvidia widely expected to be a leading buyer. Other tech giants, including Apple, Microsoft, and Amazon, are also seeking advanced chips to power their AI initiatives. Analysts project that the global memory chip market could surpass $840 billion by 2027.
“By commencing mass production of our industry-leading HBM4, we have secured an early leadership position in this critical market,” Samsung said in a statement. The company has invested billions of dollars in facility upgrades and advanced manufacturing processes to keep pace with global demand.
The announcement had an immediate market impact, with Samsung’s stock rising more than six percent on South Korea’s stock exchange. The South Korean government has also voiced support for the country’s ambition to rank among the world’s top three AI powers, alongside the United States and China.
Industry analysts caution that prioritizing AI chip production could increase retail prices for consumer electronics globally. Samsung, however, affirmed its commitment to expanding production capacity and continuing technological innovation to maintain a competitive edge in the fast-evolving AI sector.
