Samsung is redesigning its 6th-generation DRAM chip, known as 1C, in a strategic move to boost performance and gain a stronger foothold in the race to develop HBM4 (High Bandwidth Memory). Internally, this effort is seen as critical for the company’s reputation in the high-performance memory market.
This redesign comes, as Samsung faces intense competition from SK Hynix and Micron, both of whom have already refined their next-gen DRAM technologies. The urgency is further heightened by the underwhelming adoption of Samsung’s previous-generation HBM3, which struggled to gain traction in the industry.
Even NVIDIA CEO Jensen Huang openly criticized Samsung’s HBM technology, making a bold statement:
“I cannot trust Samsung’s HBM process or its engineers.”
With HBM4 expected to play a major role in AI, data centers, and next-gen computing, Samsung’s success in refining its DRAM technology could determine its future position in the high-performance memory market.
Understand the importance of 1C DRAM
The 1C DRAM chip is set to play a crucial role in the success of next-generation HBM4 memory. Its importance has become even clearer following the setbacks with HBM3, which struggled with overheating, excessive power consumption, production delays, and underwhelming performance—especially in AI applications.
From the start, developing 1C DRAM has been anything but smooth. One of the biggest challenges has been low production yields, which currently fall short of the industry’s acceptable range of 60% to 70%. Another issue is the chip’s size, which is considered too large by today’s industry standards.
Initially, Samsung tried to shrink the chip to boost production volume. However, this led to instability in the manufacturing process, further reducing yield rates. In response, the company shifted its strategy, opting to make the chip larger to enhance stability and, ultimately, improve production efficiency.
While this new approach comes with higher costs, Samsung remains optimistic. The company expects to see positive results by the end of the first half of 2025.
Samsung runs against time
Samsung is under growing pressure to refine its 1C DRAM chip, especially as competitors like SK Hynix and Micron have already made significant strides in this area. The company’s reputation took a hit due to the challenges surrounding HBM3, which strained relationships with key industry partners.
The setbacks with HBM3 led to a major loss of trust from important clients, including Nvidia, and drew public criticism over Samsung’s memory performance. This adds even more urgency for the company to ensure the success of its HBM4 development.
Whether Samsung can meet its goals with the redesigned 1C DRAM in time to gain a competitive edge remains uncertain. However, early results should start emerging in the coming months as HBM4 moves into mass production.
