The company intends to catch up
The company Nvidia, as we learned the other day, placed orders for products according to the 7 nm and 5 nm process technology at TSMC capacities, while it is believed that Samsung will also produce products according to the 5 nm standards for Nvidia.
How Nvidia has secured AMD’s success and TSMC 7N process technology
Now, a very interesting article has appeared on the Web, on the other hand revealing the format of cooperation between Nvidia and the aforementioned semiconductor giants.
It is reported that in July last year, Nvidia announced a decision to conclude a contract with Samsung for the production of the next-generation GPU, that is, the Ampere generation. It was about the 7 nm process technology. And this was a week before the announcement by AMD of its first seven-meter CPUs and GPUs, which were produced at the TSMC facilities using the 7N manufacturing process. The source claims that Nvidia after that realized that it underestimated the increase in efficiency that AMD products received from the transition to the new TSMC process technology, thus making a strategic mistake.
When Nvidia realized what AMD had achieved with the transition to new process technology, the company decided to rely on TSMC again (obviously, not abandoning its partnership with Samsung), but found that AMD, being the first TSMC client, took up most of the production capacity. In the end, Nvidia decided to bypass AMD, adapting its new architecture to the TSMC N7 + and N5 manufacturing processes. The source also adds that Nvidia uses cooperation with Samsung as a “blackmail” in negotiations with TSMC, but so far it is not particularly successful since it is the latter that leads the market for semi nanometer products.