Samsung Electronics has secured long-term supply agreements for nearly 80% of its memory chip production capacity for the upcoming year. This volume includes high-bandwidth memory, or HBM, which is critical for modern artificial intelligence infrastructure.
Major global technology corporations, including Nvidia, Google, and Microsoft, have already placed orders with the manufacturer. These supply contracts typically span a duration of five years or more, reflecting a shift in the semiconductor industry toward long-term commitments.
The trend of moving away from spot market transactions toward order-driven models is spreading across the entire AI hardware supply chain. Samsung noted during its second-quarter earnings call that demand for these long-term agreements currently exceeds the company's ability to fulfill all requests.
Other industry leaders, such as SK Hynix and Micron Technology, are also finalizing similar large-scale supply deals with their key clients. Analysts suggest this shift helps tech giants ensure supply chain stability while allowing suppliers to mitigate the risks associated with high capital investments.
