Current partner of Qualcomm, could TSMC face competition from Samsung, the number two semiconductor manufacturer?
Current number one in semiconductor manufacturing, Taiwan's TSMC (Taiwan Semiconductor Manufacturing Company) doesn't seem to have had much competition for two or three years now. Intel's decline in terms of chip production is such that, for its latest processors (Arrow Lake/Lunar Lake), the American group has even been forced to delegate part of its production to TSMC. Meanwhile, the third-largest chip manufacturer - Samsung - seemed to be struggling with its 2 nm process, while TSMC was ramping up its production lines using the same process.
The Qualcomm Snapdragon 8 Elite Gen 5: Samsung's object of desire © Qualcomm
The word "seemed" is apt, because TSMC may finally be encountering some competition. If Android Headlines is to be believed, Samsung may well be negotiating with Qualcomm for the production of the Snapdragon 8 Elite Gen 5, Qualcomm's most modern chip, which the American company currently has produced by TSMC. Our colleagues explain that Samsung has not yet signed any concrete agreements, but that a sample of Samsung's 2nm Snapdragon 8 Elite Gen 5 chip has already been presented to Qualcomm. Such a sample is, of course, only the first step, with more to come before production can actually be entrusted to Samsung.
Qualcomm must, of course, put the Samsung samples through numerous tests before validating anything. Secondly, Samsung must be able to ensure large-scale production capable of covering Qualcomm's needs. Having said that, on this last point, it should not be forgotten that Qualcomm may also seek to multiply its sources of supply: entrusting part of the production to Samsung and another part to TSMC is undoubtedly the best way of guarding against any problems. In any case, one thing is certain: for the good of the industry, it is desirable that TSMC should not be in a monopoly position.
