During a recent visit by Samsung Electronics Executive Chairman Lee Jae-yong to the US, Tesla CEO Elon Musk had the opportunity to meet him for the first time. The meeting, held at Samsung Research America Headquarters in Silicon Valley, California, focused on exploring potential collaboration in the realm of automotive semiconductor chips.
Sources indicate that Musk and Lee discussed the potential for Samsung Foundry to manufacture semiconductor chips for Tesla’s self-driving cars. Tesla has been developing its own processors to power its FSD (Fully Self-Driving) vehicles, and it is now considering engaging Samsung Foundry for their production. The meeting gained further significance with the presence of Kyung Gye-hyun, CEO of Samsung Semiconductor, and Choi Si-young, President & GM of Samsung Foundry.
Samsung and Tesla have an existing working relationship, with Samsung supplying various components for Tesla’s electric cars. These components include batteries from Samsung SDI, Exynos Auto chips, and camera sensors from System LSI. Samsung Foundry is already involved in manufacturing chips for Tesla using its 14nm process in Austin, Texas. However, it is now speculated that future chips will be produced using Samsung Foundry’s more advanced 5nm fabrication process.
While Tesla has yet to announce its decision regarding the chip manufacturing contract, the meeting between Musk and Lee suggests positive prospects for Samsung. Nevertheless, there have been reports indicating that Tesla is also considering awarding the contract to Samsung’s primary competitor, TSMC. As such, the outcome remains uncertain, and further developments in this collaboration will be worth monitoring in the future.
