Samsung will supply 5G modems for Tesla vehicles for the first time. This comes after last year’s $16.5 billion AI6 chip manufacturing deal between the two companies. The initial supply will go for the automaker’s robotaxis in Texas, with expansion to general vehicles expected in the future.
Tesla taps Samsung for 5G vehicle modems
According to a report from TheElec, Samsung’s System LSI division has completed development of the 5G modem. The company is currently testing its modem with plans to begin supply in the first half of 2026. It developed the project specifically for automotive use, not for smartphones. The reason is that 5G modems for vehicles must withstand extreme temperatures and vibrations, and have a lifespan of more than 10 years.
Back in May 2023, Samsung Chairman Lee Jae-yong met with Tesla CEO Elon Musk in Silicon Valley. They reportedly talked about AI chips for autonomous driving and automotive communication components. As such, the two companies have inked the 5G modem deal and the AI6 chip contract.
Until now, Tesla had depended on Qualcomm for its vehicle modems. Industry insiders say Tesla wants to “reduce its dependence on Qualcomm and reorganize its supply chain around the US and Korea.” On top of that, the decision may be based on its OOC/OOT (Out of China/Out of Taiwan) policy, which excludes Chinese and Taiwanese parts from the supply chain.
Samsung’s step into Tesla’s supply chain is a big achievement for the System LSI division. While the company is making 5G modems for smartphones, the automotive market requires higher reliability. Now that the firm will supply modems for Tesla’s robotaxis, it can expand its automotive business while attracting other car makers around the world.
For now, all eyes are on the latest mobile modem, the Exynos Modem 5410, which may be paired with the Exynos 2600. The chip could power some units of the upcoming Galaxy S26 series.
