Elephant dancing! Samsung Electronics shares jump 6%, with LPU+HBM5 serving as dual catalysts

At this year’s GTC conference, the highly anticipated Groq 3 LPU has been confirmed to be outsourced to Samsung Electronics for manufacturing, expected to be produced using 4-nanometer technology.

Samsung Semiconductor Executive Vice President Han Jin-wan stated that mass production of Groq 3 LPU will begin in late Q3 or early Q4 of this year, and market demand for this chip is expected to further grow next year. “Even before NVIDIA’s acquisition of Groq in 2023, Samsung had already started collaborating with Groq,” he added. “Samsung engineers were directly involved and assisted with the design of the LPU.”

Recently, analyst Ming-Chi Kuo reported that after NVIDIA’s investment in Groq, the shipment forecast for LPU has been significantly revised upward. The total shipments are expected to reach 4 to 5 million units between 2026 and 2027.

In addition, progress has been made in the storage field with Samsung’s next-generation HBM.

According to Business Korea today, Samsung Electronics has confirmed that it is developing the eighth-generation High Bandwidth Memory (HBM5), with the underlying chips possibly using 2-nanometer process technology. For the ninth-generation HBM5E, the company plans to apply DRAM based on 1D (7th generation 10nm class) process technology on the core chips in advance.

Samsung Electronics Memory Development Executive Vice President Hwang Sang-joon stated, “As device performance continues to improve, we will continue to apply the most advanced process technology to HBM5 and HBM5E.”

Following this news, Samsung Electronics opened sharply higher today, with gains once expanding to 6%. Since the beginning of this week, the company has gained over 11%. Currently, its market capitalization has surpassed 1,370 trillion Korean won (approximately $921.2 billion).

Just last month, market research firm TrendForce pointed out that as AI infrastructure expands, the demand for GPUs is also growing. It is expected that after NVIDIA’s Rubin platform reaches mass production, it will drive demand for HBM4. The validation process for HBM4 by the three major memory manufacturers has progressed to the final stages and is expected to be completed sequentially in Q2 2026. Among them, Samsung is expected to be the first to pass validation due to its superior product stability.

Previously, Samsung Electronics took the lead in applying the 1c DRAM technology ahead of competitors to the HBM4 core chips, manufacturing the basic chips using Samsung’s 4-nanometer process technology. Based on this, the company has achieved industry-leading performance and supplied HBM4 to NVIDIA last month.

“Samsung’s HBM4 basic chips are also manufactured using 4-nanometer process technology, so I believe the demand for 4-nanometer process will greatly increase in the future,” Han Jin-wan said.

(Source: Cailian Press)