Nvidia’s memory chip push with Taiwan’s TSMC could weaken the roles of Samsung and SK hynix in supply chains
Nvidia is keeping its South Korean chip suppliers close while seeking more control over memory. Samsung Electronics and SK hynix supply high-bandwidth memory (HBM) for Nvidia’s AI chips. Industry experts warn that Nvidia’s work with Taiwan’s TSMC could weaken their role. The Korean firms could end up supplying memory cells. Their partners could control the finished chips, according to the Korea Joongang Daily.
According to The Information, TSMC is planning to make 3D DRAM at Nvidia’s request. It is weighing whether to build a new one or convert an existing one. The technology stacks memory cells vertically to fit more capacity into the same space. TSMC said it remains focused on making chips under contract.
SK hynix already relies on TSMC to make base dies for its HBM4 chips. A base die connects the memory layers above it to the processor. Nvidia’s custom NVHBM design moves the memory controller into that base die. Nvidia reportedly asked Samsung, SK hynix and Micron to use TSMC’s 3 nanometre process. The request covered base dies for their NVHBM chips.
HBM supply has struggled to keep up with AI demand, and prices have risen. Nvidia’s processors can also handle data faster than memory can deliver it. The industry calls this gap the memory wall.
Designing its own memory structures could improve performance and reduce dependence on any one supplier. Greater control over memory production could also help TSMC cut delays in shipping Nvidia’s GPUs.
Professor Kwon Seok-joon said TSMC could expand its role in memory without building a DRAM plant. It could make more base dies or lead-chip stacking via hybrid bonding.
This method joins chips directly without tiny solder bumps. TSMC could also work with Taiwanese memory makers or produce circuits that run 3D DRAM.
“Going forward, Korean companies need to become co-designers of the base die. Securing mass production capability in hybrid bonding before TSMC does should be their last line of defence,” the publication quoted Kwon as saying.
“They need to diversify their custom HBM customers to Google, AMD, Meta and others and protect their design sovereignty outside Nvidia,” Kwon added.
Nvidia is also expanding its partnerships in South Korea. It signed an agreement with SK Telecom and startup Rebellions at Nvidia AI Day Seoul. SK Telecom plans to pair Rebellions’ processors with Nvidia’s GPUs in its new data centres.
Nvidia’s NVLink Fusion platform lets chips designed by other companies work inside Nvidia’s AI systems. The partnership gives Rebellions a chance to demonstrate its technology while widening Nvidia’s ecosystem. Nvidia has also invested in Point2 Technology, a Korean chip interconnect startup, according to the Korea Joongang Daily.
Sounak Mukhopadhyay covers trending news, sports and entertainment for LiveMint. His reporting focuses on fast-moving stories, box office performance, digital culture and major cricket developments. He combines real-time updates with clear context for everyday readers. <br><br> Sounak brings newsroom experience across breaking news, explainers and long-form features. He has a strong emphasis on accuracy, verification and responsible storytelling. His work tracks audience behaviour, celebrity influence and the business of sport and cinema. He helps readers understand why a story matters beyond the headline. <br><br> Sounak has contributed to widely read digital publications. He continues to build a body of journalism shaped by consistency, speed and editorial clarity. He is particularly interested in the intersection of media, popular culture and public conversation in contemporary India. <br><br> At LiveMint, he writes daily coverage as well as analytical pieces that interpret numbers, trends and cultural moments in accessible language. His approach prioritises factual depth, balanced framing and reader trust. The reporting aligns with modern newsroom standards of transparency and credibility. <br><br> Outside daily reporting, he explores storytelling across formats including podcasts, filmmaking and narrative non-fiction. Through his journalism, Sounak aims to document the rhythms of modern entertainment and sports while maintaining rigorous editorial integrity. <br><br> Sounak continues to develop audience-focused journalism that connects speed with substance in a rapidly-changing information environment. His work seeks clarity, trust and lasting public value in every story he reports.
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