These are the most-read DIGITIMES Asia stories from February 15-18:
Nvidia is reportedly considering ASIC services
Nvidia is said to be contemplating an entry into the ASIC service market, a move that could potentially affect Broadcom and Marvell, among others, according to industry sources in Taiwan. The sources said that demand for customized AI chips is not being entirely created by customers looking for alternatives to Nvidia's expensive GPUs or chips that do not need CoWoS packaging, the shortage of which is severely impeding AI chip shipments.
SMIC's bold expansions spark concerns about potential mature-process overcapacity
Foreign media outlets have raised concerns over Semiconductor Manufacturing International Corporation's (SMIC) ambitious mature process capacity expansion plans, warning of potential repercussions on the global wafer foundry market. Analysts echoed these concerns during the company's recent financial results conference, highlighting the risk of overcapacity in mature processes.
Qualcomm announces AP contract extension with Samsung's flagship models
Samsung's Galaxy S24 series marked the return of its in-house application processor (AP), the Exynos 2400. However, based on Qualcomm's financial report, it seems Samsung will require some time for Samsung to equip all flagship models with its in-house AP. Qualcomm recently released its financial report for the first quarter of the fiscal year 2024. During the earnings call, Qualcomm CEO Cristiano Amon announced the launch results of the new-generation AP Snapdragon 8 Gen3 and the current partnership status with the Samsung Galaxy S24 series.
The roast of Sam Altman: Nvidia CEO Jensen Huang's trillion dollar burn
Jensen Huang has thrown shade on Sam Altman's semiconductor ambitions. Huang attended the 2024 World Governments Summit in Dubai, UAE, on February 12. At the summit, he spoke with the UAE's AI minister, Omar Al Olama, about the future of AI. He told Al Olamar that Sam Altman's US$7 trillion investment plan is unnecessary to establish an alternative semiconductor supply chain solely for AI and added that the focus should remain on innovating GPU architecture to enhance performance.
Global semiconductor manufacturing industry poised for 2024 recovery
Electronics sales experienced their first annual increase since the second half of 2022, increasing 1% in the fourth quarter of 2023. This trend is anticipated to continue in the first quarter of 2024 when sales are projected to increase by 3% from a year earlier. Simultaneously, IC sales increased 10% year on year in the fourth quarter of 2023, as inventories returned to normal levels and demand continued to rise. IC sales are forecast to strengthen in the first quarter of 2024 with 18% year-over-year growth.
Samsung hopes 2nm AP orders from Qualcomm can be key to overtaking TSMC
Qualcomm has reportedly commissioned Samsung Electronics to develop a trial product for its 2nm application processor (AP). Although mass production still has a considerable way to go, if Samsung's performance and yield rate can be approved, it could secure orders from Qualcomm and take a crucial step in its 2nm wafer foundry business.
SK Hynix reportedly plans AI chip alliance with TSMC
SK Hynix is rumored to be establishing an Artificial Intelligence (AI) semiconductor alliance with TSMC, investing in the development of next-generation high-bandwidth memory (HBM) such as HBM4, and strengthening its packaging technology capabilities to solidify its respective positions in the AI semiconductor market, especially in light of competition against Samsung Electronics.
