Samsung is trying very hard to turn the current AI chip rush into its comeback moment, but for now, the industry still looks like it trusts TSMC more.
According to Wccftech’s report, the boom in AI hardware has pushed TSMC into a serious capacity squeeze, especially for advanced 3nm chip production. That should be the perfect opening for Samsung Foundry. The Korean giant has been pushing its 2nm GAA process and is also bringing that technology to the US through its Taylor plant.
Sounds like a big win, right? Not so fast.
The issue is not whether Samsung can build cutting-edge chips on paper. The bigger question is whether it can manufacture them in large quantities with stable yields. In chip manufacturing, yield basically means how many usable chips you get from each wafer. If the number is low, costs naik gila, deliveries get messy, and customers start sweating.
That is why companies like Tesla and Qualcomm may be looking at Samsung, but not necessarily as a full TSMC replacement. The more realistic play is dual-sourcing: keep TSMC as the main supplier, while Samsung becomes the second option if capacity, pricing, or supply chain pressure gets too intense.
For Qualcomm, Samsung’s current 2nm GAA yield is reportedly around 60%. That is still below the roughly 70% level Qualcomm is said to consider suitable. Bro, that 10% gap matters a lot when you are talking about expensive flagship mobile chips that could end up inside future premium Android phones.
Tesla’s situation is also interesting. The company has reportedly completed design tape-out for its AI5 chip, but still relies on TSMC for the main production volume. Samsung is apparently being kept as a backup for certain AI5 versions rather than becoming the main foundry partner.
For Malaysia and SEA readers, this might sound like faraway semiconductor drama, but it does hit our wallets eventually. These advanced chips power the stuff we actually care about: gaming phones, AI PCs, handheld consoles, GPUs, laptops, smart cars, and future Android flagships. If chip production becomes expensive or unstable, don’t be surprised when RM prices for devices stay spicy.
This is especially relevant for Qualcomm. Snapdragon chips dominate premium Android gaming phones, including models popular among mobile gamers in Malaysia. If Qualcomm cannot comfortably split orders between TSMC and Samsung, it has less flexibility. Less flexibility usually means less room for cheaper pricing, faster supply, or wider product availability.
Samsung still has a chance to change the narrative. Its upcoming Exynos 2700, expected later this year, could become an important proof point for its 2nm process. If Samsung can show better performance, stronger efficiency, and more consistent manufacturing, the industry may start taking its foundry business more seriously again.
But right now, the vibe is clear: Samsung has the technology, but TSMC still has the trust.
That makes Samsung less of a direct rival today and more of a very important backup plan. Still useful, still powerful, but not yet the foundry everyone wants to bet their entire roadmap on.
Source: Wccftech Gaming