Samsung Launches First High-NA EUV Machine for 1.4nm Manufacturing in March, Potentially Avoiding Tariffs to Compete with TSMC

Samsung Launches First High-NA EUV Machine for 1.4nm Manufacturing in March, Potentially Avoiding Tariffs to Compete with TSMC

As Samsung ventures into the development and mass production of sub-2nm wafers, it faces significant financial hurdles in acquiring ASML’s high-NA EUV machines. However, this investment is crucial for Samsung to remain competitive against its primary rival in the semiconductor sector, TSMC. To alleviate some of the financial strain associated with this endeavor, the South Korean government is reportedly planning to eliminate tariffs on relevant imported equipment, which would aid Samsung in achieving its production objectives. Notably, Samsung has already taken a proactive step by installing a high-NA EUV machine to facilitate 1.4nm wafer production as of March this year.

Samsung’s Additional Orders for High-NA EUV Machines to Speed Up 2nm GAA Chip Production

Despite earlier speculation regarding the cancellation of its 1.4nm development, it appears that Samsung has successfully addressed the yield challenges associated with its upcoming 2nm GAA node. The company’s Exynos 2600 is now set for mass production later this year, allowing Samsung to demonstrate that its next-generation architecture can match the performance of TSMC’s 2nm technology while also achieving higher production volumes. Following this successful rollout, Samsung plans to broaden its operations by taking orders from customers seeking this advanced technology.

According to reports from Economic News Daily, the South Korean government’s strategy to eliminate tariffs is aimed at enhancing the competitiveness of local firms like Samsung in the global market. Each high-NA EUV machine from ASML carries a hefty price tag of around $400 million, making the elimination of tariffs a critical factor in reducing overall costs. This financial strategy is vital for Samsung as it aspires to elevate its standing in the semiconductor industry alongside TSMC.

Samsung’s commitment includes leveraging the EXE:5000 machine procured from ASML, which has already been installed at its Hwaseong facility for 1.4nm production. While focusing on the immediate goals of 2nm wafer manufacturing, Samsung also has ambitious plans to initiate mass production of its 1.4nm chips by the year 2027, providing a significant window to establish a competitive edge over TSMC in shortly thereafter.

For further details, readers can check the original report by Economic News Daily.

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