In a recent announcement, Samsung’s contract chip manufacturing division revealed a significant contract with Tenstorrent, a promising Canadian startup specializing in artificial intelligence (AI) chip development. This strategic partnership reflects Tenstorrent’s ambition to compete with industry giant Nvidia in the AI chip market. The startup is focused on producing chips and intellectual property for data centers, with plans to expand into various sectors, including the automotive industry.
As part of this collaboration, Tenstorrent will harness Samsung’s cutting-edge 4nm manufacturing process to create chiplets designed to be integrated alongside other chiplets within a single package. The deal’s specifics, including the financial value and quantity of chips involved, were not disclosed by either party. A distinguishing feature of the chips is their utilization of RISC-V technology, an open-source semiconductor architecture that competes with industry standards like Arm and x86. This technology choice sets the startup apart and positions it strategically in the competitive landscape. However, the chip that Samsung will manufacture, named Quasar, does not employ RISC-V technology.
Jim Keller, CEO of Tenstorrent, highlighted the company’s focus on developing and delivering high-performance computing solutions to a global customer base. This partnership follows Samsung’s prior investment in Tenstorrent during a capital raise in August, where they raised $100 million, involving notable investors such as Hyundai Motor Co. Before this capital infusion, they had already raised a substantial $234.5 million, resulting in a valuation of $1 billion. This development underscores the growing interest and investment in AI chip technologies and the potential disruptors seeking to challenge established market leaders.
Samsung’s collaboration with Tenstorrent represents a significant stride toward diversifying the AI chip market and challenging the dominance of Nvidia. With Tenstorrent’s innovative approach to chip architecture and Samsung’s advanced manufacturing capabilities, the partnership has the potential to impact various industries relying on high-performance computing solutions.
