Tesla Expands Partnership with Samsung for AI5 Chip Production

During Tesla’s 3Q earnings call, they announced that Samsung Electronics will take on a larger role in manufacturing its next-generation AI inference chip, the AI5, alongside TSMC.

The update revealed signals the move to diversify the company’s chip supply chain and boost production flexibility for its in-house AI hardware.

Both Samsung and TSMC will now share fabrication duties for the AI5, which powers Tesla’s Autopilot, Full Self-Driving, and AI infrastructure initiatives.

On July 2025, Samsung revealed a multiyear foundry contract reported at approximately US$16.5 billion, widely linked to Tesla’s upcoming chips, with production expected at Samsung’s advanced fab in Taylor, Texas. Neither company disclosed detailed production volumes or timelines.Tesla reaffirmed its commitment to delivering its next-gen AI hardware on schedule and stated that the company remains confident in both partners’ ability to meet its specifications and ramp demands.