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Qualcomm caught in Samsung’s yield gamble yet again

by on15 May 2025


Forced deal with Korean foundry as TSMC loyalty wobbles

Qualcomm normally tries to split chip production between Samsung and TSMC but always ends up relying on TSMC because Samsung cannot fix its yield problems. This year might be different for better or worse.

Despite earlier reports that the Snapdragon 8 Elite Gen 2 would be built exclusively on TSMC’s third-generation 3nm ‘N3P’ process, Fnnews now claims Qualcomm and Samsung signed a deal in the US earlier this year for “leading-edge” production. What exactly is included in the deal remains a mystery.

Samsung has struggled for years to secure big-name customers thanks to its hopelessly bad yields. However, its new 2nm gate-all-around (GAA) process could change its luck. Trial runs of the Exynos 2600 hit a 30 per cent yield which is miserable by TSMC standards but a big jump from Samsung’s failed 3nm node.

There is now talk that the Snapdragon 8 Elite Gen 2 for Galaxy devices could end up built on Samsung’s 2nm GAA process. But it is still unclear whether Qualcomm has placed any serious production orders.

Samsung said during its Q1 2025 earnings call that it plans to stabilise 2nm yields and begin taking orders later this year. It refused to name customers leaving speculation that Qualcomm might be among them.

Samsung’s hopes of clawing back respect rest on convincing Qualcomm and others that it can finally deliver a chip without fouling it up. No one is holding their breath.

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