TSMC’s 3nm production capacity is limited, Snapdragon 8 Gen 4 may be mass-produced exclusively by Samsung

Previously, reports indicated that Qualcomm’s future Snapdragon 8 platform might adopt a dual-foundry strategy, employing TSMC’s N3E and Samsung’s 3nm GAA processes simultaneously. However, Qualcomm seems to have altered its strategy, as rumors suggest that due to the majority of TSMC’s 3nm capacity being allocated to Apple, the limited capacity left for Qualcomm may compel them to entrust the entire fourth-generation Snapdragon 8 to Samsung’s manufacturing capabilities.

At present, Apple has already secured most of TSMC’s 3nm wafers. Furthermore, TSMC’s 3nm wafers will also be provided to MediaTek, leaving only 15% for Qualcomm’s utilization. A mere 15% capacity evidently cannot fulfill Qualcomm’s demand for the fourth-generation Snapdragon 8, a situation that is patently unacceptable to the company.

Currently, only TSMC and Samsung possess the technology to produce 3nm chips, and reports indicate that their 3nm yields stand between 50% and 60%. Regardless of the actual figures, Qualcomm can only obtain 15% of the 3nm shipment from TSMC, with the remainder reserved for MediaTek and Apple. Although TSMC is currently striving to enhance its 3nm process output, it is unable to make such substantial adjustments in a short period to satisfy the needs of all three companies. Coupled with Apple’s extensive demand, TSMC’s 3nm chip production will perennially be in a state of shortfall. In addition, due to TSMC’s steep manufacturing fees for the 3nm process, Qualcomm may relinquish TSMC in favor of Samsung for the fourth-generation Snapdragon 8.

Moreover, Samsung’s 3nm process diverges from TSMC’s, utilizing a more advanced GAA architecture, while TSMC continues to employ the traditional FinFET transistor structure. As there has been no direct comparison between the two companies’ 3nm chips, it remains unclear what differences may exist between Samsung’s and TSMC’s 3nm technology. Qualcomm’s decision to collaborate with Samsung once again may be a reflection of its satisfaction and endorsement of the samples received from Samsung’s foundry, which have likely met their expectations.