Samsung Electronics Co. is working on an artificial intelligence-powered modem chip designed for satellite communications, seeking to supply components for SpaceX’s Starlink network as the Korean company attempts to diversify beyond its struggling telecommunications equipment division.
A Samsung semiconductor executive met with SpaceX officials to discuss the chip’s technical specifications and development timeline, according to people familiar with the discussions. The Exynos modem incorporates a neural processing unit intended to track low-Earth orbit satellites and maintain signal connections as they move across the sky, the Korea Economic Daily reported.
Samsung claims the technology improves beam identification and channel prediction by 55 and 42 times respectively compared with existing models, though independent verification of those figures wasn’t available. Industry analysts estimate non-terrestrial networks could become a ₩740 trillion ($530 billion) market by 2040.
The initiative comes as Samsung’s networks division faces mounting pressure. Sales at Samsung Networks fell 25% in 2024 to about ₩3 trillion ($2.1 billion), underscoring the urgency for new revenue streams. The company recently expanded its relationship with Elon Musk’s ventures after Tesla said both Samsung and Taiwan Semiconductor Manufacturing Co. would manufacture its AI5 chip.
Whether Samsung can translate development discussions into actual supply contracts remains uncertain. SpaceX has been working with multiple chipmakers on satellite connectivity components.
