TSMC is the world’s largest chip manufacturer. The company has a near-monopoly on the market, but Samsung is definitely trying to get a slice of that pie. However, it seems that companies like Qualcomm and MediaTek won’t be so quick to jump ship to Samsung foundry for its 2nm chipsets anytime soon.
Qualcomm, MediaTek might not use Samsung foundry for 2nm chips
But we’re sure you’re wondering, why would they even consider that to begin with? After all, TSMC has been reliably producing chips for both companies for years. If you might recall, a recent report claimed that TSMC has increased the price of its advanced nodes. It is estimated that this could result in 2nm wafers costing $30,000 each, a jump of around 50%.
This means that if Qualcomm and MediaTek want to maintain its margins, it’ll have to increase prices. This will result in a domino effect, where ultimately it could result in our phones being more expensive. It also means that turning to Samsung and its foundry to make Qualcomm and MediaTek 2nm chips makes a lot of sense.
However, it turns out it could be wishful thinking.
It’s not a quality, but timing issue
According to a DigiTimes report, the idea of a partnership between Samsung, Qualcomm, and MediaTek might be part of a “broader South Korean tech industry narrative.” But the reality is a little different. In reality, the issue comes down to timing.
You see, for any adjustments to be made that uses Samsung’s 2nm GAA technology, the first chip would have to launch in 2027, not 2025. Plus, chances are both Qualcomm and MediaTek have finalized or even taped out the design of its 2nm chips, which means it’s a little too late to jump ship even if they wanted to.
It is possible that further down the line, Qualcomm and MediaTek could adopt a dual-sourcing strategy. This means that they would source their chips from both TSMC and Samsung. This would be a smarter play. It ensures that overall costs won’t be too much, and they’ll always have a backup in case of anything.
We have heard a recent report that claims Samsung tried to court Qualcomm with a 2nm Snapdragon 8 Elite 5. Maybe the company is too late for Qualcomm’s next-gen 2nm chip. But it might be good enough to secure future orders.
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