ByteDance Develops AI Chip with Samsung

ByteDance, the parent company of ByteDance — TikTok Shop, is reportedly developing its own artificial intelligence (AI) chip, codenamed SeedChip, designed for AI inference tasks. The company is in advanced talks with Samsung Electronics for manufacturing the chip and securing memory chip supplies, with a goal to receive sample chips by the end of March and produce at least 100,000 units this year, potentially ramping up to 350,000. This initiative is part of ByteDance's broader strategy to invest heavily in AI development, reduce reliance on dominant suppliers like Nvidia, and navigate US export controls on advanced chip sales to China. While ByteDance officially denies the reports, industry insiders suggest the project is a key component of its future business portfolio, aiming to integrate AI across its services including short video, e-commerce, and enterprise cloud. Rivals like Alibaba Group and Baidu are already ahead in AI chip development, with Alibaba having unveiled its Zhenwu chip and Baidu planning an IPO for its Kunlunxin unit.