The readiness of the new Texas Samsung factory for mass chip production is at 90 %.

Samsung is preparing to launch chip production for Tesla and Nvidia

*Key facts*

When Where Completion of factory shell construction already finished Eller, Texas Installation and setup of equipment in progress Assessment of readiness for mass production ~90 % Planned start of mass production in the second half of 2024. Internal ceremony of completion of installation next week

Why Taylor became a priority
Samsung signed a multi‑year contract to supply chips for Tesla in the United States. This became the decisive factor that accelerated the launch of the new plant in Taylor. The shell is already built; only equipment needs to be installed and the technology process tuned for the initial product line.

TrendForce reports that the site readiness is estimated at 90 %. Mass production is planned to start in the second half of this year, but next week there will be an internal ceremony marking the completion of equipment installation with participation from Samsung executives and key suppliers.

Construction history
* Original launch date – October 2024

* Delays caused by:
* The COVID‑19 pandemic
* Waiting for subsidy approval from U.S. authorities
* Key customers became Nvidia and Tesla, which accelerated the commissioning process.

First products
* AI5 – fifth‑generation artificial intelligence chips.
* Samsung plans to produce them for Tesla, but part will be manufactured by Taiwan’s TSMC.
* AI6 – sixth generation AI chips.
* It is expected that only Samsung can manufacture this type of chip.

Technology level
Samsung TSMC Output yield of good 2‑nm products < 60 % 80–90 %
Low production efficiency of 2‑nm chips at Samsung reduces the economic return from mass production. Unlike it, TSMC already consistently achieves higher yields.

Memory and its role
* AI5 – will require LPDDR5X memory chips, mainly supplied by SK hynix.
* AI6 – will use LPDDR6.
* The bandwidth of LPDDR6 is about one and a half times higher than that of LPDDR5X (peak up to 14.4 Gb/s).
* Mass production of LPDDR6 is planned for the second half of this year.

Thus, launching the plant in Taylor will not only meet the needs of Tesla and Nvidia but also create conditions for developing new generations of AI chips and high‑performance memory.