Qualcomm Snapdragon 8 Elite Gen 3 Launching in Two Variants Like Apple A18 & A18 Pro Due to High 2nm Wafer Costs

Qualcomm Snapdragon 8 Elite Gen 3 Launching in Two Variants Like Apple A18 & A18 Pro Due to High 2nm Wafer Costs

In 2026, prominent chipset manufacturers, including Qualcomm, are gearing up to unveil their first 2nm System on Chips (SoCs).Among these, Qualcomm’s flagship Snapdragon 8 Elite Gen 3 is anticipated to take center stage. However, rumors have emerged suggesting that the exorbitant cost of wafers produced using this advanced lithography could hinder several of Qualcomm’s smartphone partners from integrating the Snapdragon 8 Elite Gen 3 into their high-end devices. To navigate this challenge, Qualcomm may consider developing two distinct versions of the chipset, much like Apple’s strategy with the A18 and A18 Pro.

Exploring a Dual-Sourcing Strategy for the Snapdragon 8 Elite Gen 3

Recent insights from the industry tipster Digital Chat Station indicate that leading manufacturers such as Apple, MediaTek, and Qualcomm will likely need to adjust their chipset prices due to the steep increase in 2nm wafer production expenses. Taiwan Semiconductor Manufacturing Company (TSMC) reportedly began accepting orders for this technology on April 1, with production costs soaring to approximately $30, 000 per unit. Given these financial constraints, Qualcomm’s partners may be resistant to adopting the Snapdragon 8 Elite Gen 3. This has prompted speculation about the development of two iterations of the upcoming flagship SoC, as indicated by new insights shared on Weibo.

The premium version, designated ‘SM8950′, is expected to target consumers seeking the highest performance in their smartphones. In contrast, the ‘SM8945′ may serve a similar role to Apple’s A18 or A19, featuring many flagship capabilities but with compromises such as reduced cache and lower clock speeds for both the CPU and GPU. For Qualcomm, relying solely on one foundry for all future orders might not be the best approach, but financial and technological limitations make such a choice realistic.

Snapdragon 8 Elite Gen 3 in two versions

Several reports suggest that Qualcomm is contemplating a dual-sourcing strategy, collaborating with both Samsung and TSMC to diversify its production capabilities. However, Samsung has faced challenges in meeting production targets, which has negatively impacted its yield rates. There is optimism, though, as both Samsung’s LSI and foundry divisions are striving to enhance their 2nm Gate-All-Around (GAA) yields to 50% and progressively improve this benchmark to facilitate mass production.

Additionally, there’s speculation that Qualcomm has held fruitful discussions with Samsung regarding the mass production of its Snapdragon 8 Elite Gen 2 for Galaxy devices. However, clarity will only emerge once the official launch of the chipset occurs later this year. For many smartphone manufacturers lacking the resources to develop in-house solutions, the options may be limited. They might have to adopt the Snapdragon 8 Elite Gen 3, even in its downgraded version, leading to a potential increase in retail prices for consumers or a hit to their profit margins.

Source: Digital Chat Station

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