Samsung Electronics has obtained approval to supply its fifth-generation high-bandwidth memory (HBM) chips to U.S. tech giant Nvidia, Bloomberg reported on Jan. 31.
Citing unnamed sources, Bloomberg said Samsung’s 8-layer HBM3E passed Nvidia’s qualification test in December. These chips will be used in “Nvidia’s less powerful AI processors tailored for the Chinese market,” according to Bloomberg.
Bloomberg added that Samsung and Nvidia representatives declined to comment.
While the deal is relatively small, it marks progress for Samsung, which spent the past year trying to supply its HBM3E product to Nvidia. SK Hynix began mass-producing 8-layer HBM3E early last year and began supplying the more advanced 12-layer HBM3E to Nvidia late last year.
Meanwhile, Samsung Electronics, which released its finalized fourth-quarter earnings on the same day, projects the semiconductor market to remain sluggish for the first half of this year. Nvidia’s approval for Samsung’s 12-layer HBM3E is expected to be completed in the second half of the year.