While TSMC remains highly competitive, securing orders from companies like Apple, with in-house production started, with a total of three 5nm technologies on hold.
Samsung will not invest resources in the 4nm process; according to sources close to the company, the South Korean giant will skip this technology, moving to the 3nm process.
Rumors indicate that Samsung has invested $8,1 billion in a new 5nm production line, and according to DigiTimes, Samsung will skip the 4nm process, jumping directly to 3nm.
TSMC, on the other hand, plans the opposite, planning the 4nm N4 process due for completion in 2023. TSMC has also secured a $20 billion investment in its 3nm chip production facility, with sources saying it should be operational. until 2022.
Although Samsung is the only manufacturer capable of competing with TSMC in terms of technology, it continues to lag behind in terms of progress. TSMC has already secured orders from companies including Apple, Qualcomm and Huawei.
Recently, it was reported that Samsung has received some orders to mass-produce 5nm chips for Qualcomm's Snapdragon X60 5G modem. Some orders will also be delivered to TSMC in order to minimize risk, gain better price leverage and complete shipments within a certain time frame.
We expect Samsung to maintain its 5nm production throughout 2021, which is the year the company is rumored to launch the Exynos 1000. While jumping straight to 3nm technology means Samsung will be able to direct more resources into a node. improved and efficient, it also means the company could lose tons of orders from potential partners, who are now likely to see TSMC as a better option thanks to its upcoming 4nm technology.
