🤖Nvidia Secures 2.5x Substrate Capacity Boost by 2028
Nvidia's AI Hardware Pipeline Just Got a Major Boost
TL;DR
Nvidia has secured a 2.5x increase in substrate capacity over the next three years, ensuring a steady flow of GPUs and AI processors. By 2028, a quarter of Samsung's substrate output will go to Nvidia, tripling production at an IBIDEN plant and expanding SPIL's capacity 15x by mid-2027.
Nvidia has secured a 2.5x increase in substrate capacity over the next three years, ensuring a steady flow of GPUs and AI processors. This move is crucial as demand for AI hardware far outstrips current capacity. Nvidia's strategic investments in its suppliers, including Samsung's Electro-Mechanics and Japanese outfit IBIDEN, will significantly boost production. By 2028, a quarter of Samsung's substrate output will go to Nvidia, tripling production at an IBIDEN plant and expanding SPIL's capacity 15x by mid-2027, then doubling that by the end of 2028.
Key Points
Nvidia plans 2.5x substrate capacity increase by 2028, securing supply for GPUs and AI processors.
Samsung's Electro-Mechanics will supply a quarter of substrate output to Nvidia by 2028.
Nvidia's deal with IBIDEN triples production at an existing plant by 2028.
Nvidia's arrangement with SPIL expands production capacity 15x by mid-2027, then doubles by 2028.
Nvidia secures Korean silicon packaging player Amkor for higher production volumes.
Why It Matters
If you're in AI hardware, Nvidia's supply chain investments are a game-changer. By 2028, a quarter of Samsung's substrate output will go to Nvidia, tripling production at an IBIDEN plant and expanding SPIL's capacity 15x by mid-2027. This ensures steady supply for current and next-gen platforms, crucial for teams relying on Nvidia's GPUs and AI processors.
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