SamMobile has affiliate and sponsored partnerships. If you buy something through one of these links, we may earn a commission. Learn more.

Samsung might lose Qualcomm’s business in 2018

Business
By 

Last updated: January 8th, 2018 at 15:40 UTC+02:00

Samsung’s semiconductor division is a significant driver of growth for the conglomerate. The company has key manufacturing deals with companies like Qualcomm. It mass produces their chips in its advanced facilities. Samsung manufactured the Snapdragon 835 for Qualcomm and is likely going to manufacture the Snapdragon 845 as well.

However, if a new report is believed, Samsung might lose some of Qualcomm’s business next year to the Taiwan Semiconductor Manufacturing Co. or TSMC.

No dibs on the Snapdragon 855?

Samsung manufactured the Snapdragon 835 for Qualcomm and got dibs on the initial batch. That’s why the Galaxy S8 and Galaxy S8+ were the only two handsets available in the first quarter of this year with Qualcomm’s latest chip.

History is expected to repeat itself in the coming year as Samsung will likely be manufacturing the Snapdragon 845 as well. It goes without saying that the Galaxy S9 and Galaxy S9+ will be the first devices on the market in 2018 to be powered by this latest chip.

Samsung may not have dibs on the Snapdragon 855, though, if Nikkei’s report is believed. According to the report, TSMC is going to get some Qualcomm modem chip and core processor orders in 2018.

Qualcomm is reportedly going to work with TSMC to roll out a modem chip in the first quarter of next year. It may also manufacture Qualcomm’s next flagship mobile processor – the Snapdragon 855 – before the end of 2018.

TSMC will reportedly build these chips on its new 7nm technology. It’s also going to use the same technology to manufacture the processors for the new iPhones due next year.

It was reported earlier this year that Qualcomm has ditched Samsung and chosen TSMC for its 7nm processors. Samsung is expected to commence mass production of chips based on its 7nm technology in the second half of next year.

TSMC has reportedly supplied its 7nm chip development tools to clients already so it’s ahead of its Korean rival. Samsung shifted its focus to advancing the 10nm process and that led to the delay of its 7nm process. TSMC skipped the 10nm process and focused on 7nm instead.

Qualcomm’s flagship processor is used in tens of millions of devices every year. If Samsung ends up losing out a big chunk of Snapdragon 855 orders to TSMC, its semiconductor division may have to win over more clients to plug the revenue shortfall.

Source Business QualcommSnapdragon 835Snapdragon 845Snapdragon 855TSMC
Load 7 comments

You might also like

Galaxy Watch 5 will get competition from OPPO’s Watch 3 with Snapdragon W5 Gen 1 chip

Last year, the Galaxy Watch 4 was the only smartwatch running the brand new Wear OS 3 software, and Samsung had the monopoly in the Android smartwatch space. This year, though, things will be different. To compete with the Galaxy Watch 5 series, rival smartwatch brands are in the process of launching their new Wear […]

  • By Asif Iqbal Shaik
  • 1 week ago

Samsung Galaxy S23 Ultra battery and chipset details leak

The Galaxy S22 Ultra had the difficult task of joining the best of the Galaxy S and Note lineups into one device. The upcoming Galaxy S23 Ultra won’t be as big of a generational leap but should refine the current design formula. Similarly, some hardware components will get replaced and upgraded, while others won’t. Samsung […]

  • By Mihai Matei
  • 2 weeks ago

As US China tensions flare over Taiwan, Samsung becomes indispensable

The world can hardly afford another conflict. The uncertainties of the past couple of years have led to significant turmoil across the globe. A post-COVID scenario seems elusive as the virus continues to mutate and go through periods of resurgence. The economic recovery following the pandemic has been painfully slow. The armed conflict between Russia […]

  • By Adnan Farooqui
  • 2 weeks ago

SamMobile Podcast Episode 17: Are Exynos chipsets going away?

It’s Friday, and we have another SamMobile Podcast ready for our readers and YouTube / Spotify subscribers. As usual, for Episode 17, we’re recapping some of the most exciting news of the week. And what a week it was?! Samsung and Qualcomm have extended their chipset license agreement to 2030, and this could mean big […]

  • By Mihai Matei
  • 3 weeks ago

Samsung and Qualcomm have extended their chipset partnership to 2030

Qualcomm announced today that it has agreed to extend its patent license agreement with Samsung for another seven years. The agreement’s renewal guarantees that future Galaxy devices and Samsung PCs will be powered by Qualcomm technologies such as chipsets and networking equipment through the end of 2030. More specifically, Samsung and Qualcomm have extended their […]

  • By Mihai Matei
  • 3 weeks ago

Qualcomm confirms Snapdragon exclusivity for Galaxy S23, future devices

It was rumored earlier this year that the Galaxy S23 might only use Snapdragon chipsets. The company has previously used a mix of Qualcomm Snapdragon and its Exynos chipsets for these flagship phones. That might change for good next year. Qualcomm has effectively confirmed that the Galaxy S23 will exclusively be powered by Snapdragon chipsets. […]

  • By Adnan Farooqui
  • 3 weeks ago