Samsung’s 2nm Technology Falls Short of Qualcomm’s Benchmark, Complicating Efforts to Decrease TSMC Dependency

Impending Production of Snapdragon 8 Elite Gen 6 and Gen 6 Pro on TSMC’s 2nm Process

Recent insights indicate that Qualcomm’s upcoming Snapdragon 8 Elite Gen 6 and its Pro variant may be solely produced using TSMC’s innovative 2nm ‘N2P’ process technology. This development highlights the ongoing difficulties between Qualcomm and Samsung in their attempts to form a partnership. Notably, it appears that Samsung is grappling with significant stability issues regarding its own 2nm GAA node, raising concerns about meeting industry benchmarks.

Challenges and Opportunities: Can Samsung Meet Qualcomm’s Benchmark?

Reports persist regarding Samsung’s 2nm GAA yield rates hovering around 60 percent, a factor that complicates Qualcomm’s potential partnership due to the latter’s expectations of reaching a 70 percent yield rate. Business Korea suggests this discrepancy is a significant barrier preventing Qualcomm from securing a dual-sourcing arrangement with Samsung. Staying with TSMC ensures Qualcomm timely access to chipsets, but at a cost premium that reflects the high stakes of wafer production.

The Broader Impact of Yield Rates on the Industry

Transitioning to another foundry involves considerable challenges, especially since next-generation chipsets are already on track with TSMC as the current supplier. Some sources indicate that the narrative around Samsung may be elevated within the South Korean tech sector, possibly to foster a more competitive environment.

Despite the hurdles, Samsung has limited time to enhance its GAA yields before the rollout of its next products. If Samsung can successfully surpass the 60 percent yield, it may open the door for Qualcomm to consider them as a future customer. The second-generation 2nm GAA technology is set to power the Exynos 2700 later this year, which could facilitate this goal.

For more information, visit Business Korea.

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