ByteDance is reportedly progressing with plans to design its own artificial intelligence processor and has entered into discussions with Samsung Electronics regarding potential manufacturing arrangements. According to reports, the initiative is part of ByteDance’s broader strategy to secure reliable access to advanced computing hardware required for AI-driven workloads.
Sources indicate that ByteDance is targeting delivery of initial sample chips by the end of March. The proposed processor is primarily intended for AI inference functions, which support systems such as recommendation algorithms and chatbot applications. If development advances according to schedule, production volumes could reach at least 100,000 units within the year, with scope for substantial expansion thereafter.
Samsung is said to be under consideration not only for fabrication services but also for access to high-performance memory components, which remain in short supply globally as demand for AI infrastructure accelerates. ByteDance has characterized media reports about its in-house chip efforts as inaccurate, without offering further detail. Samsung has not issued any comment.
The reported semiconductor initiative is consistent with ByteDance’s intensifying focus on artificial intelligence across its digital ecosystem, which includes short-video platforms, e-commerce operations, and enterprise cloud services. The company has been developing chip-related capabilities since at least 2022 and, in 2023, established a dedicated AI-focused division known as Seed to accelerate model research and deployment.
Major global technology firms such as Google, Amazon, and Microsoft have launched proprietary AI chips in recent years to lessen dependence on Nvidia, which maintains a dominant position in advanced AI processors. Chinese companies have also stepped up domestic semiconductor development in response to US export controls restricting access to high-end chips.
ByteDance is reportedly preparing for significant AI-related expenditure this year, dedicating considerable resources to both Nvidia hardware and internal research programs. Company executives have reiterated their commitment to strengthening AI capabilities, acknowledging competitive gaps with leading international players while emphasizing sustained investment.
Should the in-house chip project move forward as outlined, it would represent a major step in ByteDance’s effort to gain greater control over its AI technology stack and reduce reliance on external suppliers.
