Why would Samsung invest $1.9 billion in a 20nm and 14nm chips of Intel? Does this mean that Samsung want to generate profit from it or the company just simply believe in Intel's next generation chips?
First things first let’s get the facts straight:
1.) Samsung is investing on a new line of chips for smartphones and processors using 20nm and 14nm fabrication processes worth $1.9 Billion.
2.) Intel is currently the # 1 chip maker in the world with Samsung following a close second.
3.) Samsung and Intel are currently competing against each other (not working together) and are “in” for a fierce and aggressive fight over who will dominate the smartphone/ tablet’s system chip market which according to research will soar and increase demand from $23 billion last year to $59 billion in 2016. Amidst this overwhelming evidence it would be safe to say that it was the thought of profits which prompted Samsung to take such a big risk.
