Samsung and SK Hynix supply US companies with $950 billion worth of chips

Samsung Electronics and SK Hynix, the two South Korean memory chip industry giants, will supply American technology companies, including Nvidia, with memory chips under agreements worth $950 billion, a presidential adviser announced on Saturday.

The announcement came during President Lee Jae-myung’s visit to San Francisco to hold talks with leaders of the U.S. technology sector, including Sam Altman, CEO of OpenAI; Jensen Huang, CEO of Nvidia; Dario Amodei, CEO of Anthropic; and Hock Tan, CEO of Broadcom.

Kim Young-bum, head of the Presidential Office for Policy Affairs, told journalists in San Francisco while accompanying the president that the two South Korean chipmakers and U.S. technology companies had agreed to “continue cooperation” in this sector.

South Korea hosts the world’s two largest memory chip manufacturers, Samsung Electronics and SK Hynix. The advanced chips they produce are essential to the rapidly evolving artificial intelligence industry, and have bolstered optimism about the prospects for the Korean economy.

The announcement includes SK Hynix’s plan to enter into a five-year cooperation agreement, under which it will supply companies including Nvidia with memory chips valued at $750 billion, according to Kim.

It also includes a $200 billion memorandum of understanding between Samsung Electronics and Broadcom, concerning the supply of advanced memory chips and AI chip manufacturing services over the next five years.