28.07.2025 10:07
Samsung Electronics' stock experienced a significant surge on Monday, driven by the revelation of a substantial $16.5 billion semiconductor deal with Tesla. This collaboration marks a major win for Samsung, propelling its stock price to ₩70,400 ($50.82) – a remarkable 6.83% increase for the day and a solid 3.38% gain over the past week.
The surge followed official regulatory filings confirming the contract's existence, further substantiated by a public statement from Tesla CEO Elon Musk himself. The agreement, effective July 26, 2025, and extending to December 31, 2033, outlines Samsung's role in manufacturing next-generation AI chips for Tesla's burgeoning needs.
Musk specifically highlighted Samsung's new, massive Texas facility as the production site for Tesla's upcoming AI6 chips, contrasting this with Taiwan Semiconductor Manufacturing Company's (TSMC) current production of Tesla's AI5 chips. He emphasized Samsung's existing involvement in producing the older AI4 generation and expressed Tesla's commitment to close collaboration with Samsung to optimize production efficiency, even promising personal oversight to expedite development. This production will leverage Samsung's cutting-edge 2-nanometer process technology.
This lucrative contract arrives just before Samsung's second-quarter earnings announcement, a particularly opportune time given the company's earlier warning of a potential profit decline exceeding 50%. This warning cited weak demand in its foundry division and intense competition within the AI memory chip market, a sector where Samsung has trailed competitors like SK Hynix and Micron in high-bandwidth memory (HBM) development – a vital component in AI chipsets.
Simultaneously, Tesla stock is experiencing a modest rebound following a lackluster Q2 earnings report. At the time of writing, TSLA shares stood at $316.06, representing a 3.52% increase. Pre-market trading indicated further gains, adding another 1.59% to the stock's value. This recovery suggests investor confidence in Tesla's future, possibly bolstered by this strategic partnership with Samsung.
