TSMC founder believes that Samsung has remained the biggest threat

Business
By 

Last updated: April 22nd, 2021 at 16:27 UTC+02:00

Although TSMC is leading the foundry sector with more than 50% market share, TSMC founder Morris Chang believes that Samsung has remained the strongest competitor in the segment due to several reasons, one of which is the fact that both TSMC and Samsung have a similar corporate culture.

But perhaps more importantly, Morris Chang is of the opinion that TSMC and Samsung share a few other qualities, such as a complete IC industry supply chain, as well as a robust talent pool. In addition, both TSMC and Samsung are established in countries that benefit from well-developed sea-air transport logistics, which are crucial elements for a foundry to remain competitive on a global scale.

At the same time, TSMC isn’t feeling any serious threat from China, as none of the China-based foundry companies are capable of competing with TSMC’s technologies and expertise. According to Morris Chang, TSMC is at least five years ahead of China’s IC manufacturing capacity, though it’s only 1-2 years ahead of China in terms of technology.

Samsung continues holding on to its long-term plans

TSMC is leading the foundry market but despite its extremely favorable position in the segment, Samsung continues to be a threat as it plans to become the world’s greatest semiconductor company and overtake TSMC by 2030.

The Taiwanese semiconductor company has started manufacturing a new semiconductor facility in Arizona last year, but Samsung is now following up with its own plans for investment in the USA, though only time will tell if the company’s alleged $17 billion investment will be poured into Texas, Arizona, or New York.

Of course, despite their similarities, there are some fundamental differences between Samsung and TSMC, foundry-wise. Most importantly, TSMC is a pure-play semiconductor company, meaning it manufactures chipsets for other clients — such as Qualcomm — without designing them. In contrast, Samsung Semiconductor is an IDM (Integrated Device Manufacturer) who both designs and manufactures ICs.

Source BusinessGeneral Samsung FoundrySamsung SemiconductorTSMC
Load comments

Related News

Samsung wants half of Galaxy phones planned for 2022 to use Exynos

  • By Mihai M.
  • 6 days ago

Samsung expecting highest-ever quarterly revenue in Q3 2021

  • By Asif S.
  • 2 weeks ago

Samsung unveils when it will start manufacturing 2nm, 3nm, 4nm chips

  • By Asif S.
  • 2 weeks ago

Samsung is manufacturing Tesla’s next-gen HW4.0 self-driving chi …

  • By Mihai M.
  • 4 weeks ago

Is the White House not interested in talking to Samsung about chips an …

  • By Mihai M.
  • 1 month ago

Samsung’s poker face will save the company billions in the U.S.

  • By Dominik B.
  • 1 month ago

Samsung ranked fourth in the smartphone chipset market in Q2 2021

  • By Asif S.
  • 2 months ago

Watch drone footage of Samsung’s semiconductor campuses in Korea

  • By Asif S.
  • 2 months ago