Samsung Electronics’ chip factory in Taylor, Texas will manufacture advanced AI processors designed by Tenstorrent, a Canadian semiconductor company, the chipmaker announced Monday.

It marks the second publicly-announced deal at the new factory, following an order from U.S.-based AI chip designer Groq in August.

“The chiplets will be manufactured using Samsung’s state-of-the-art SF4X process, which boasts an impressive 4 nanometer architecture,” Tenstorrent said in a statement.

“Tenstorrent’s focus is on developing high performance compute [sic] and delivering these solutions to customers around the world,” said Jim Keller, CEO of Tenstorrent.

“Samsung Foundry’s commitment to advancing semiconductor technology aligns with our vision for advancing RISC-V and AI and makes them ideal partners to bring our AI chiplets to market,” the CEO said.

As an AI tech startup, Tenstorrent has acquired a number of intellectual properties including a technology for neural processing units which is vital for the commercialization of self-driving vehicles. The company is valued at $1 billion.

Tenstorrent has attracted investment from multiple Korean companies with the aim of securing high-end automotive chips in autonomous driving.

Hyundai Motor Group and Samsung Catalyst Fund along with other investors funded $100 million in August. LG Electronics also announced in May that it will collaborate with Tenstorrent for its product lines, mainly for connected televisions and automotive chips.

“Samsung Foundry is expanding in the U.S., and we are committed to serving our customers with the best available semiconductor technology,” said Marco Chisari, head of Samsung’s U.S. Foundry business. “Samsung’s advanced silicon manufacturing nodes will accelerate Tenstorrent’s innovations in RISC-V and AI for data centers and automotive solutions.”

The chip factory in Taylor is Samsung’s chip manufacturing project worth up to $25 billion, aiming to embark on mass production by the latter half of next year.

BY PARK HAE-LEE [lee.soojung1@joongang.co.kr]