SEOUL / LONDON (IT BOLTWISE) – With production costs rising at TSMC, Qualcomm and MediaTek are considering moving their 2nm chip production to Samsung. This strategic decision could help the two companies improve their profit margins while Samsung strengthens its position in the foundry market.
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Recent developments in the semiconductor industry suggest that Qualcomm and MediaTek are seriously considering moving their 2nm chip production from TSMC to Samsung. These considerations are a direct response to the significant price increases announced by TSMC for its advanced manufacturing processes. According to industry reports, TSMC plans to increase prices for its 2nm processes by up to 50 percent, which would significantly increase production costs for companies like Qualcomm and MediaTek.
Samsung, on the other hand, recently started mass production of its Exynos 2600, which is based on the advanced 2nm GAA process. This technological achievement could position Samsung as an attractive alternative to TSMC, especially as the Korean firm continues to improve its production capabilities and efficiency. Qualcomm has already taken initial steps to evaluate a partnership with Samsung by considering the 2nm GAA process for the next generation of its Snapdragon chips.
The future remains somewhat unclear for MediaTek, although the company has announced that it has successfully completed the tape-out phase of its first 2nm SoC and plans to launch it in 2026. The decision to partner with Samsung could help MediaTek deal with rising production costs while benefiting from Samsung’s advanced manufacturing technology.
The potential shift of production to Samsung could also have far-reaching implications for the global semiconductor market. Samsung could significantly expand its market share in the foundry sector, while TSMC could be forced to rethink its pricing strategy to retain its customer base. These developments could also intensify competition in the 2nm technology space, ultimately leading to faster innovation cycles and potentially lower costs for end users.
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