Samsung Foundry Wins Neuralink 4nm Chip Order

Samsung Electronics' foundry division has secured its first contract from Neuralink, the brain-computer interface (BCI) company founded by Elon Musk. According to a June 15 report by KED Global, Samsung will manufacture Neuralink's fourth-generation brain-implant chip using a 4nm process. Codenamed 'O1,' the initial test silicon is scheduled for shipment in the first half of 2027.

The manufacturing transition marks a significant shift for Neuralink, which had previously outsourced its chip production to TSMC through the third generation. This contract represents the second major piece of cutting-edge hardware a Musk-led enterprise has awarded to Samsung Foundry, following earlier orders for Tesla's self-driving chips, as Musk broadens his supply chain.

Codenamed 'O1': Inside the 4nm Fourth-Generation Chip

The partnership began taking shape late last year when Samsung initiated research and development on the new chip, with production of the first test units on the 4nm process starting approximately one month ago. According to the current timeline, the first test-grade silicon is expected to launch in the first half of 2027, with mass production slated for the second half of the year, pending successful validation.

The choice of manufacturing node is particularly noteworthy. Despite the cutting-edge nature of the BCI chip, Neuralink selected Samsung's 4nm process over more advanced, newer nodes. Wccftech reports that the decision stems from Samsung's highly stable yields on its 4nm lines compared to its latest sub-3nm nodes. For medical implants where delivery schedules and safety are paramount, proven manufacturing reliability takes precedence over cutting-edge transistor density, making the mature 4nm process the safer bet for this order.

The defining advancement of the fourth-generation chip lies in its bidirectional capability. While previous iterations only read neural signals to control external devices, the new chip supports two-way communication, enabling external data to be transmitted back into the brain. Neuralink aims to leverage this capability for therapeutic applications, such as restoring partial vision by directly stimulating cortical neurons.

Samsung Foundry Expands Presence in Musk's Hardware Ecosystem

Neuralink is the latest among Musk's ventures to partner with Samsung. Last year, Tesla signed a long-term contract valued at $16.5 billion to manufacture its next-generation AI6 self-driving chips at Samsung's Texas facility. The Neuralink contract extends this partnership, marking the second high-profile order within Musk's supply chain that Samsung Foundry has landed.

This shift is driven in part by capacity constraints at TSMC. The artificial intelligence boom has led industry leaders like Nvidia to monopolize TSMC's production capacity, severely tightening the Taiwan-based foundry's lines. Amid a broader trend where Nvidia's massive orders are redrawing the semiconductor landscape, Musk is actively reshaping his supply chain to cut reliance on any single supplier.

For Samsung, the Neuralink order provides a timely boost. Its foundry division, which has struggled with losses, has set a target to return to profitability by 2028, a goal that gains credibility as it secures high-profile customers within Musk's corporate network. Furthermore, with SpaceX preparing for its stock-market debut, Samsung's relationship with Musk's broader supply chain appears to be expanding.

First Half of 2027 Stands as a Critical Milestone

The ultimate success of this expanding partnership hinges on the initial test silicon slated for the first half of 2027. The 4nm process prototype must meet the stringent reliability standards required for medical implants before mass production can proceed in the second half of the year; failure to do so will delay the entire project. Currently, both Samsung and Neuralink have declined to officially confirm these details, which are based on industry sources.

Neuralink's long-term commercial goals remain highly ambitious. Late last year, Musk announced on X that the company plans to begin mass production of BCI devices by 2026, alongside transitioning to nearly fully automated surgical implantation procedures. The company's N1 implant features 1,024 electrodes distributed across 64 flexible threads and has been implanted in 12 patients to date, including Noland Arbaugh, a paralyzed patient who successfully played online chess and video games using only his thoughts.

For Samsung Foundry, this contract holds significance far beyond immediate revenue. As the company broadens its memory-centric portfolio toward advanced contract manufacturing, landing the 4nm process order from a figure as symbolic as Musk, deep inside Musk's supply chain, serves as a major industry reference. Whether the first test chips meet expectations in the first half of 2027 will determine the trajectory of Samsung Foundry's broader turnaround strategy.