According to a report from Wccftech, Google is rumored to switch to TSMC’s second-generation 3nm process, “N3E”, for its Tensor G5. The report also claims that for the Tensor G6, Google will utilize TSMC’s “N3P” process instead of the 2nm process speculated earlier. Its entire Pixel 10 series set to be launched next year will use TSMC’s 3nm process.

The report suggests that the Tensor G4 processor may be the last Google chipset manufactured by Samsung using its 4nm process, since the Tensor G4 reportedly offers only a slight upgrade compared to the Tensor G3 in the Pixel 8 smartphone, as it continues to use Samsung’s older FO-PLP packaging technology instead of the newer FO-WLP packaging, which is more capable in preventing overheating.

Notably, the report states that Qualcomm and MediaTek have also adopted the 3nm “N3E” process for their Snapdragon 8 Elite and Dimensity 9400 chipsets for the first time this year, having bridged the technological gap with Apple.

Therefore, the report notes that Google will still be a year behind in the competition when it announces the Tensor G5 and Tensor G6, since Qualcomm, MediaTek, and Apple are already using TSMC’s 3nm process and are expected to shift to N3P.

According to the report, the Tensor G5 was reported to have reached the tape-out stage earlier this year and is expected to use TSMC’s InFO-POP packaging, which allows the chipset’s packaging to be smaller and also more power efficient.

Regarding Tensor G6, it will likely launch two years from now. Although it was previously rumored that Tensor G6 will use TSMC’s 2nm process, the report indicates that it will instead utilize TSMC’s enhanced version of 3nm, N3P node.

According to a report from AnandTech, as a more enhanced process node compared to N3E, N3P offers better performance with higher transistor density and reduced power consumption.

The report indicates that it makes sense that Google is not opting to adopt the 2nm process immediately, especially since even Apple is expected to wait until the launch of the iPhone 18, two years from now, to introduce its first A-series chipsets that will exceed the 3nm barrier. Additionally, it is expected that the 2nm A-series chipsets will not be included in all iPhone 18 models due to their high cost.

Read more

• [News] TSMC Rumored to Secure Tensor G6 Orders from Google with Its 2nm Process
• [News] Google’s Tensor G5 Reportedly Manufactured with TSMC’s 3nm and InFO-POP Packaging

(Photo credit: Google)

According to a report from the Reuters, NVIDIA CEO Jensen Huang stated that the design flaw in the Blackwell GPU was entirely NVIDIA’s fault, dispelling rumors that TSMC was to blame. Huang emphasized that TSMC help fix the problem and resume the manufacturing “at an incredible pace.”

When initial reports of the design flaw emerged, some media outlets suggested that TSMC was at fault, speculating that this could strain the decades-long partnership between NVIDIA and TSMC. According to the Reuters, Huang referred to the reported tensions with TSMC as “fake news.”

A report from Tom’s Hardware indicated that the now-fixed Blackwell GPUs designed for AI and supercomputers are set to enter mass production in late October and are expected to begin shipping early next year.

Aside from addressing the design flaw in Blackwell AI chips, Huang also commented on the state of AI in Europe. According to another report from the Reuters, Huang stated that the EU is currently falling behind the U.S. and China in terms of AI investment.

The report from the Reuters mentioned that the EU has implemented the world’s first comprehensive regulations governing AI, which took effect in August. However, there are relatively few AI companies in the EU. Huang emphasized that the EU should accelerate its advancements in AI, noting that lots of countries are beginning to recognize data as a national resource.

Huang was in Denmark to launch a new supercomputer jointly developed by NVIDIA, the Novo Nordisk Foundation, and Denmark’s Export and Investment Fund. The supercomputer, named Gefion, is equipped with 1,528 GPUs and will be used for drug discovery, disease diagnosis, treatment, and addressing complex life science challenges, as reported by the Reuters.

Read more

• [News] NVIDIA Reportedly in Talk with Samsung for Potential GPU Orders amid Rumored Tensions with TSMC
• [News] NVIDIA’s Blackwell Overcomes Delays, as GB200 Reportedly Sets for December Mass Production

(Photo credit: NVIDIA)

As Qualcomm unveiled the Snapdragon 8 Elite chipset earlier this week, Samsung, which has been working on its in-house Exynos 2500 to improve the 3nm yield, is said to abandon the plan and go Snapdragon 8 Elite only for the entire Galaxy S25 series. To turn the tide, it is reportedly embarking on the development of its next-gen Exynos chip, set to be featured in the Galaxy S27, according to Korean media outlet Sedaily and Wccftech.

The chip is expected to be manufactured with Samsung’s 2nm node, probably the SF2P process, which is an improved version of its first generation 2nm process, the reports note. Therefore, this would be a key battleground for Samsung, as it has been suffering from yield issues regarding 3nm node with GAA architecture for long.

And it does look like that Samsung aims high for the chipset, as the next-gen Exynos chip has been reportedly codenamed “Ulysses,” the Roman name for Odysseus, the hero from Greek mythology, according to Sedaily.

According to the reports, the SF2P process is slated for mass production in 2026, with enhancements in both performance and power efficiency. To be more specific, SF2P aims to improve performance by 12% while reducing power consumption by 25% and chip area by 8% compared to its predecessor.

It is also worth noting that Samsung’s foundry division is reportedly producing test chips and verifying the process design to refine the node.

Citing an industry expert, Sedaily notes that Samsung’s foundry has consistently relied on Exynos APs as a key customer. By refining its processes through managing substantial Exynos orders, Samsung has the potential to enhance its competitiveness against TSMC in next-generation chip manufacturing, although the challenge remains significant.

The challenges ahead for Samsung is formidable for sure. Foundry giant TSMC’s 2nm is expected to enter volume production in 2025, and it is already creating a buzz, as Chairman C.C. Wei said earlier that customer inquiries for 2nm are even higher than those for 3nm. According to previous market speculations, tech giants such as Apple, NVIDIA and AMD are believed to be the first batch of TSMC’s 2nm customers.

Another major rival, Intel, has shelved the 20A process node to focus entirely on the more advanced Intel 18A, aiming to enter mass production in 2025.

Japanese chip manufacturer Rapidus, on the other hand, plans to establish a fully automated production line using robots and AI in northern Japan to produce 2nm chips for advanced AI applications, with mass production anticipated as early as 2027.

Read more

• [News] Samsung’s Next Move? Early HBM4 Mass-production and 2nm Foundry Solutions Could Be the Cure
• [News] Despite 3nm Issues, Samsung Plans to Speed up 2nm/1.4nm Expansion Next Year

(Photo credit: Samsung)

Netherlands-based chip equipment maker ASML recently announced a reduction in orders for its 2025 forecast, leading to a sharp decline in its shares. The industry is concerned about ASML’s revenue from China.

According to Wccftech, ASML’s CEO Christophe Fouquet mentioned that China’s typical demand accounts for about 20% of ASML’s sales, and he expects that demand will eventually return to those levels in 2025.

He further stated that demand from China is primarily focused on legacy chips based on older-generation technology.

Notably,  Fouquet claims that China may be able to produce some chips at 5nm and 3nm nodes, albeit in limited capacity and using older DUV lithography technology, according to the report from Wccftech.

Whether China has the capability to produce chips at advanced nodes has recently come under scrutiny. Fouquet’s assertion follows reports that Xiaomi has purportedly completed the tape-out of its first 3nm SoC, which might be launched next year, according to the report from Wccftech. This reported innovation in China could assist Huawei’s HiSilicon and other sanctioned Chinese firms in improving their chip design

On the other hand, according to the report from Reuters, Fouquet believes that the U.S. export restrictions will persist regardless of who wins the presidential election.

According to the report from Reuters, Fouquet mentioned that the Netherlands and Europe are debating whether further export restrictions are for national security concerns or trade policy, and whether they would even be effective. He mentioned that even American companies are also thinking about whether these regulatory measures bring benefits or harm.

ASML’s revenue decline is not entirely influenced by China, as the downturn is also attributed to the underwhelming performance of ASML’s major clients, including tech giants Intel and Samsung, according to the report from Wccftech.

According to its press release, ASML revised its total net sales forecast for 2025 to a range of €30 billion to €35 billion, down from its previous estimate of up to €40 billion. Additionally, it reported third-quarter bookings of €2.6 billion, which fell short of the average analyst estimate.

Read more

• [News] ASML Reports Disappointing Q3 Bookings while Lowering 2025 Forecast, Raising Concerns in Chip Sector

(Photo credit: ASML)

According to a report by China’s CCTV Finance on October 20, Samsung Electronics has recently begun restructuring its business, with the semiconductor division deciding to withdraw from the light-emitting diode (LED) business.

Samsung Electronics to Focus on Power Semiconductors

The report highlighted that Samsung Electronics’ exit from the LED business is primarily due to the group’s overall performance falling short of expectations.

According to Samsung Electronics’ preliminary unaudited financial results released on October 8 for the third quarter of 2024, both the company’s profit and revenue for the quarter fell below market expectations. Sales were 79 trillion KRW, a 17.2% year-on-year increase but lower than the market estimate of 81.57 trillion KRW. Operating profit was 9.1 trillion KRW, a 274.5% year-on-year increase but down 12.8% from the previous quarter, and also below analysts’ estimate of 11.5 trillion KRW.

Samsung entered the LED lighting business in 2012 by merging with Samsung LED. However, in recent years, the business has continued to struggle, gradually losing its competitive edge in the international market. Although the annual sales from this business reached approximately 10.4 billion RMB, Samsung believed that its contribution to the company’s overall sales was too small to ensure the desired profitability.

Therefore, Samsung decided to divest the LED business to focus more on core areas with better growth prospects, such as power semiconductors and Micro LED technology.

Power semiconductors are primarily used in electric vehicles, smartphones, energy storage, and home appliances. They are responsible for power conversion and current control, and are considered a crucial engine for accelerating industrial growth.

Samsung Expands Power Semiconductor Business

At the beginning of 2023, Samsung established a special task force for power semiconductors, and by the end of the year, it further reorganized its operations, transforming the LED division into the Power Semiconductor Division.

In July 2023, Samsung announced at its Foundry Forum that it would launch 8-inch gallium nitride (GaN) power semiconductor foundry services by 2025, targeting applications in consumer electronics, data centers, and automotive markets.

As part of this strategic plan, Samsung introduced German company Aixtron’s metal-organic chemical vapor deposition (MOCVD) system into its Giheung factory, which specializes in 8-inch wafer foundry, during the second quarter of this year.

Challenges Facing Samsung’s Semiconductor Business

Samsung’s semiconductor division, despite being one of its strongest sectors, is also facing increasing challenges.

In terms of wafer foundry, Samsung has long aimed to compete with TSMC. However, the two still show a noticeable gap in market share. According to the latest rankings from TrendForce in early September, TSMC held a dominant 62.3% market share in the second quarter, while Samsung, in second place, had a share of 11.5%.

Moreover, Samsung’s plans to build a wafer foundry in the U.S. have faced repeated delays. According to Reuters, Samsung has postponed the procurement of equipment for its Texas-based Taylor wafer plant due to difficulties in securing clients willing to collaborate.

The Taylor plant, with an investment of $17 billion, was originally intended to produce advanced chips for markets like artificial intelligence and smartphones, which require extreme ultraviolet (EUV) lithography equipment. Each standard EUV system costs approximately $150 million, and it is currently unclear how many units Samsung had originally planned to order from ASML. Both Samsung and ASML have declined to comment on the delayed equipment orders.

Earlier this year, media reports indicated that Samsung had delayed the mass production timeline for the Taylor plant from 2024 to 2026. However, without securing any cooperative clients, the plant’s prospects remain challenging, even with the delayed production schedule.

Some analysts suggest that if Samsung does not finalize orders for the necessary production equipment by early 2025, the production timeline could be further delayed, considering the time required from chip production to delivery.

Samsung Electronics plays a critical role in South Korea’s economy. As noted by China’s CCTV Finance, Samsung’s exports accounted for about 18% of South Korea’s total export volume last year. A decline in Samsung’s performance not only affects the competitiveness of South Korea’s semiconductor exports but also has a ripple effect on numerous upstream and downstream companies that collaborate with Samsung.

Read more

• [News] Samsung Electronics Apologizes after Disappointing Q3 Profit Amid AI Chip Struggles
• [News] Samsung Rumored to Cut HBM Production Target by 10% by End of 2025 amid HBM3e Delays

(Photo credit: Samsung)