Samsung, Broadcom Seal $200 Billion Chip Pact to Power AI Infrastructure

Samsung Electronics and Broadcom signed a memorandum of understanding worth more than $200 billion on July 25, 2026, securing a five-year supply of memory and foundry capacity as AI infrastructure demand surges.

The agreement, announced at the AI Summit held at The Midway in San Francisco, positions Samsung as a key supplier for Broadcom's next-generation AI accelerators and networking silicon. The partnership spans memory, logic chips, and advanced packaging technologies through 2030.

Foundry and Memory Supply

Under the MOU, Samsung's foundry division will manufacture Broadcom products using its 2-nanometer process technology and below, including Wireless Broadband Communications solutions. The memory collaboration centers on Samsung's High Bandwidth Memory (HBM) for Broadcom's AI accelerators.

The partnership also includes advanced packaging based on Samsung's 2nm process, specifically 2.3D and 2.5D integration technologies. These methods stack memory and logic chips to maximize performance in AI workloads.

Summit Announcements

The signing took place during the AI Summit, with Jinman Han, President and Head of Samsung's Foundry Business, and Broadcom CEO Hock Tan in attendance alongside representatives from the Korean government.

The $200 billion Samsung-Broadcom deal was part of broader semiconductor cooperation announcements totaling approximately $950 billion. Separate from Samsung's agreement, SK Group announced roughly $750 billion in memory supply partnerships with Nvidia and other partners during the same event.

Executive Statements

"AI is driving unprecedented demand for tightly integrated semiconductor technologies spanning memory, logic and advanced packaging," said Young Hyun Jun, Vice Chairman and CEO of Samsung's Device Solutions Division.

Charlie Kawwas, President of Broadcom's Semiconductor Solutions Group, said the collaboration combines "Samsung's memory and foundry expertise with Broadcom's AI and connectivity leadership" to deliver technologies powering next-generation AI infrastructure.

Strategic Implications

The agreement underscores Samsung's unique position as one of the few chipmakers offering both advanced memory and foundry services under one roof. For Broadcom, the deal secures access to cutting-edge manufacturing capacity at a time when AI chip demand has outstripped supply across the industry.

The five-year timeline through 2030 reflects the long lead times required to build and operate advanced semiconductor fabrication facilities. Samsung's 2nm process represents the current frontier of chip manufacturing, with only a handful of companies worldwide capable of producing at this node.

The partnership comes as tech giants race to secure supply chains for AI hardware, with memory and advanced packaging becoming increasingly critical bottlenecks alongside raw compute capacity.