On October 21, 2026, Samsung Electro-Mechanics announced a strategic partnership to supply NVIDIA with ABF package substrates for computing chipsets and high-speed networking switches. Dedicated production lines are planned for Sejong and Busan, South Korea, with multiyear deliveries planned to begin in 2026.
What the agreement covers
The agreement is for ABF package substrates, which Samsung Electro-Mechanics will supply for NVIDIA computing chipsets and networking switches. The switches are intended to support high-speed chip-to-chip connections in data centers.
Samsung Electro-Mechanics says its substrate manufacturing uses fine circuit patterning and warpage control. The company also describes embedding multilayer ceramic capacitors, or MLCCs, and silicon capacitors to address electrical noise and power efficiency.
Where production is planned
Samsung Electro-Mechanics plans dedicated production lines at its Sejong and Busan sites in South Korea. NVIDIA says its capacity plan also draws on Samsung Electro-Mechanics’ existing South Korean operations and includes facility upgrades and new factories in those cities.
NVIDIA’s target covers three suppliers
NVIDIA’s target is to expand substrate capacity for its products by 2.5x over three years through agreements with IBIDEN, Samsung Electro-Mechanics and Unimicron. That figure describes the combined supplier effort.
Samsung Electro-Mechanics separately expects its annual substrate shipments to NVIDIA to grow at a double-digit rate. The company also projects that NVIDIA-allocated production will make up a significant portion of its total annual package-substrate capacity by 2028. Those are Samsung Electro-Mechanics’ forecasts, separate from NVIDIA’s three-supplier target.
