Tesla Signs $16.5 Billion Contract With Samsung To Make AI Chips
- Reference: 0178495284
- News link: https://hardware.slashdot.org/story/25/07/28/207225/tesla-signs-165-billion-contract-with-samsung-to-make-ai-chips
- Source link:
> Samsung Electronics has [1]entered into a $16.5 billion contract for supplying semiconductors to Tesla , based on a regulatory filing by the South Korean firm and Tesla CEO Elon Musk's posts on X. The memory chipmaker, which had not named the counterparty, mentioned in its filing that the effective start date of the contract was July 26, 2025 -- receipt of orders -- and its end date was Dec. 31, 2033. However, Musk later [2]confirmed in a reply to a post on social media platform X that Tesla was the counterparty.
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> He also posted: "Samsung's giant new Texas fab will be dedicated to making Tesla's next-generation AI6 chip. The strategic importance of this is hard to overstate. Samsung currently makes AI4.TSMC will make AI5, which just finished design, initially in Taiwan and then Arizona. Samsung agreed to allow Tesla to assist in maximizing manufacturing efficiency. This is a critical point, as I will walk the line personally to accelerate the pace of progress," Musk said on X, and suggested that the deal with Samsung could likely be even larger than the announced $16.5 billion.
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> Samsung earlier said that details of the deal, including the name of the counterparty, will not be disclosed until the end of 2033, citing a request from the second party "to protect trade secrets," according to a Google translation of the filing in Korean on Monday. "Since the main contents of the contract have not been disclosed due to the need to maintain business confidentiality, investors are advised to invest carefully considering the possibility of changes or termination of the contract," the company said.
[1] https://www.cnbc.com/2025/07/28/samsung-electronics-new-chip-supply-contract.html
[2] https://x.com/cb_doge/status/1949665157174693930
Did Samsung demand that up front? (Score:2)
Because they should really make sure they get paid the $16.5bil up front.
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But Elon is such a stable guy, why worry?
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stable genius
More pump and dump (Score:1)
So without the subsidies that Tesla just lost they aren't profitable. The 7500 per car subsidy goes away in September and Trump eliminated the penalties for not hitting fuel efficiency standards so nobody's going to be bothering to buy carbon credits from Tesla anymore.
Tesla has never been profitable without those subsidies except for a brief period of time during covid when supply chain problems drove up the value of their cars because they had overbought components and they were the only company that
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Well, pumping and dumping is most of what the US has "produced" in the last few years.
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Next model is the Naught Z
"Grok, are roundabouts woke bullshit?" (Score:2)
You have the RIGHT to vibe-code while driving. Don't let ANYONE take it away.
So no MAGA (Score:2)
So not manufactured in the USA ?
Those tariffs could hurt.
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Buying non-American made stuff doesn't seem an issue with MAGA. Look at how much of that overpriced, Chinese-made Yeti stuff they fawn over when buying.
Aren't only the ramblers made in China? (Score:2)
> Buying non-American made stuff doesn't seem an issue with MAGA. Look at how much of that overpriced, Chinese-made Yeti stuff they fawn over when buying.
Not disputing your point, but your Yeti comment threw me. I thought you paid more because the Tundra/LoadOuts were made in the USA. I'm far from MAGA, but my almost 10yo yeti mug is used 3-4x daily, hence the prolific slashdot commenting, and looks brand new.
I'm curious about this NDA (Score:2)
> Samsung earlier said that details of the deal, including the name of the counterparty, will not be disclosed until the end of 2033, citing a request from the second party "to protect trade secrets,"
So, did Musk just violate his own NDA? Can't help but wonder if there will be any consequences to this.
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It of course depends on how the NDA was written. From the way the statement reads, the NDA and the timeline seems to have been requested by Tesla, possibly as a result of standard procedure if one is to speculate.
Another reason to not buy a tesla (Score:2)
I'm not going to by anything from the pedonazi.
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Why is it "another" reason? Is Samsung on a naughty-list I don't know about?
Re: Another reason to not buy a tesla (Score:2)
All I could think of is that Tesla stuff is known to burst into flames, and Samsung stuff is too... ;)
Self-driving yet? (Score:2)
Will my six-year old Model 3 with FSD, like fully self-drive because of this?
No wait, I don't care; it goes next month to be replaced by a Porsche EV. That's what having an unstable Nazi as a CEO does to potential repeat buyers. Getting the orange one into power and laughing along as he threatens my country with becoming the 51st "state" made sure I sold it as soon as I could.
Um... (Score:2)
Musk: "... I will walk the line personally to accelerate the pace of progress"
Samsung: "...investors are advised to invest carefully considering the possibility of changes or termination of the contract"
I'm sure that Musk striding around the fab in a bunny suit will have a massive effect on production, and I'm certain the investors will have nothing to worry about.
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That is because Samsung is a respectable business, while Musk is a clown with an inferiority complex that uses money as a personality surrogate.
No more Tesla cars shipped to Hawaii (Score:1)
I'm a bit surprised this isn't making more news.
[1]https://www.hawaiipublicradio.... [hawaiipublicradio.org]
Because of federal and state laws in place the shipping company Matson has an effective monopoly on cars brought to Hawaii. Electric cars have been growing in popularity in the state, as indicated in the article I linked to, but this should make people wonder how long that lasts if the one company that has been bringing EVs to the state decides they won't bring any more to the islands.
If Elon Musk wants to protect his market f
[1] https://www.hawaiipublicradio.org/local-news/2025-07-18/matson-stops-shipping-electric-vehicles-to-hawaii
Say what? (Score:1)
This is a critical point, as I will walk the line personally to accelerate the pace of progress,
Is he going to hand solder the pins on the chips? This sounds like something Kim Jong Un would say. As if he knows more than a multi-billon dollar international company whose had decades of experience making chips.
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> Is he going to hand solder the pins on the chips?
It would be fun to watch for a bit...
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I will walk the line personally to accelerate the pace of progress," Musk said on X
Yep, that does not inspire confidence. If these chips were going to be sold to many different buyers, that line right there would make me question Samsung's prospects. But since they're just for Tesla, go ahead, let Elon mess it up. If the contract language is tight with respect for protection for Samsung, it won't be any skin off of Samsung's back. However, if Samsung has too much skin in the game, that's a big risk. Elon