Here’s the translation:
The next generation of high-end processors from Qualcomm will take a significant step in its manufacturing strategy. According to a new rumor published by Wccftech, the American company has reportedly dropped Samsung Foundry as a partner for the production of the Snapdragon 8 Elite Gen 2, choosing instead to rely exclusively on TSMC and its 3-nanometer (N3P) process.
End of the dual strategy: goodbye to ‘S’ and ‘T’ versions
For months, there has been speculation that Qualcomm would launch two variants of its flagship chip, one manufactured with Samsung’s 2nm GAA node (code 8850-S) and another with TSMC’s technology (8850-T). However, the latest reports indicate that both labels have been eliminated, leaving only a standard version: SM8850.
This move comes ahead of the Snapdragon Summit, scheduled for September 23, where Qualcomm will officially present its new SoC. The cancellation of the version produced by Samsung is related to performance issues and low production yields of the 2nm GAA node, which reportedly has not surpassed 50% functional chips, while the minimum viable for mass production is around 70%.
Implications for the mobile market
This change means that devices like the upcoming Galaxy S26 series from Samsung will feature Snapdragon 8 Elite Gen 2 processors produced exclusively by TSMC, reinforcing the Taiwanese manufacturer’s dominant position in the advanced foundry segment. TSMC already leads in supplying high-performance chips for Apple and MediaTek, and is now expanding its dominance with Qualcomm as well.
Moreover, this decision has a direct impact on costs. It is estimated that Qualcomm’s reference chip QRD8850, used by manufacturers for validation testing, could reach a price of $15,000, which could increase the development and testing costs of new premium devices.
The future of Samsung Foundry in question
While Samsung continues to test its 2nm node with its own Exynos 2600 chip, the challenge of improving performance and competing on par with TSMC remains open. Although there are internal plans to increase the yield rate in the coming months, Qualcomm appears to have made a preventive and strategic decision to withdraw from the agreement, possibly due to a lack of confidence in the industrial viability of the GAA node in the short term.
Conclusion:
The loss of the contract with Qualcomm is a significant blow to Samsung Foundry, which seeks to establish itself as a real alternative to TSMC. For now, the Snapdragon 8 Elite Gen 2 will be manufactured exclusively by TSMC, confirming the Taiwanese manufacturer’s supremacy in cutting-edge processes and setting the course for premium smartphones in 2025.
via: wccftech