Samsung Electronics announced that it has begun mass producing PM9E1, a PCle 5.0 SSD with the industry’s highest performance and largest capacity.

According to Samsung’s press release, the PM9E1, which is built on its in-house 5nm-based controller and eighth-generation V-NAND (V8) technology, will provide powerful performance and enhanced power efficiency, making it an optimal solution for on-device AI PCs.

Key attributes in SSDs, including performance, storage capacity, power efficiency and security, have all been improved compared to its predecessor (PM9A1a), Samsung notes.

According to Samsung, thanks to the eight-channel PCIe 5.0 interface, the sequential read and write speeds of the new SSD have more than doubled compared to the previous generation, reaching up to 14.5 gigabytes-per-second (GB/s) and 13GB/s, respectively.

This powerful performance enables faster data transfer even with data-intensive AI applications, allowing a 14GB large language model (LLM) to be transferred from the SSD to DRAM in less than a second, Samsung states.

The PM9E1 offers a range of storage options, including 512GB, 1 terabyte (TB), 2TB and the industry’s largest capacity of 4TB. The 4TB option is especially an optimum solution for PC users in need of high-capacity storage for large-sized files such as AI-generated contents, data-heavy programs and high-resolution videos, as well as tasks that require intensive workloads such as gaming.

Additionally, the significantly improved power efficiency of over 50% allows for longer battery life which is ideal for on-device AI applications, according to Samsung.

For stronger security measures, Samsung has applied Security Protocol and Data Model (SPDM) v1.2 to the product. The SPDM specification provides ‘Secure Channel,’ ‘Device Authentication’ and ‘Firmware Tampering Attestation’ technologies that can help prevent supply chain attacks involving forgery or manipulation of stored data in the product during production or distribution processes.

Starting with PM9E1, Samsung plans to expand its advanced SSD offerings to global PC makers and expects to launch PCIe 5.0-based consumer products in the future to solidify its leadership in the on-device AI market.

(Photo credit: Samsung)

Though still be struggling with low yield rates in 3nm, Samsung is reportedly ramping up its efforts to prepare for the mass production of 2nm and 1.4nm to compete with its longtime rival, TSMC. Citing industrial sources on Oct. 3^rd, Business Korea reveals that the South Korean foundry giant is introducing equipment at the Hwaseong plant to establish a 2nm production line, while it also plans to set up a 1.4nm line in its Pyeongtaek 2 plant next year.

According to the report, this initiative is in line with Samsung’s goal to mass produce 2nm in 2025 and 1.4nm by 2027.

In terms of the capacity expansion of 2nm, Samsung aims to install a capacity of 7,000 wafers per month by the first quarter of next year in its S3 foundry line at Hwaseong, Business Korea states. It is worth noting that the existing 3nm line at S3 is expected to be fully converted to a 2nm line by the end of next year.

Then, starting in the second quarter of next year, Samsung plans to set up a 1.4nm production line at the S5 facility in its Pyeongtaek 2 plant, with a capacity of approximately 2,000 to 3,000 wafers per month, according to the report.

Unlike the aggressive expansion for its advanced nodes in South Korea, Samsung’s foundry project in Taylor, Texas, seems to be in stagnant. The company had reportedly planned to begin mass production of below-4nm nodes there by the end of 2024, but this has somehow been pushed back to 2026, which reflects the possible yield issues regarding 3nm node with GAA architecture Samsung has been eager to solve, the report suggests.

Due to a decline in client orders, Samsung’s management has decided to convert the foundry line at its Pyeongtaek 4 plant into DRAM facilities, the report points out. Additionally, the Pyeongtaek 3 plant, which features a 4nm line, has decreased its scale of operation for the same reason.

Analysts cited by the report estimate that Samsung Foundry might incur a deficit of several hundred billion won in the third quarter of this year, underscoring the financial pressures the company is experiencing.

As the delay of the 3nm Exynos seems to be irreversible, securing the success of 2nm has become a top priority for Samsung. Business Korea indicates that the testing of Samsung’s 2nm will be conducted on the next-generation Exynos chip, codenamed “Tethys.” Evaluations may also be said to extend to chips from Qualcomm, Japan’s Preferred Networks (PFN), and Ambarella.

Read more

• [News] Samsung Reportedly Suspends Construction and Contract Plans for Pyeongtaek P4 and Taylor Plant 2
• [News] Samsung Reportedly Buckling Under Pressure, with Plans to Cut Overseas Workforce by Up to 30%

(Photo credit: Samsung)

The competition between Samsung and TSMC has intensified not only in securing international IC design clients but also in the field of South Korean IC design companies. According to a report by ZDNet Korea, major South Korean AI semiconductor fabless companies, which previously used Samsung’s foundry facilities, are now diversifying their manufacturing by using TSMC’s fabs for new chip mass production.

Industry sources cited by ZDNet Korea reveal that FuriosaAI initially used Samsung’s 14nm process for its first-generation chip, “Warboy,” but switched to TSMC’s 5nm process for its second-generation chip, “Renegade.” Notably, Renegade became the first chip in South Korea’s AI semiconductor sector to utilize 2.5D packaging technology with CoWoS and HBM3 memory. FuriosaAI is also planning to use TSMC’s 5nm process for its next-generation chip, “RenegadeS,” set to launch in the fourth quarter.

Similarly, DeepX, after using Samsung’s foundry process, adopted TSMC’s technology for its latest chip development this year. The company’s “DX-V3” system-on-chip (SoC) is being developed using TSMC’s 12nm process, with a target to release samples later this year. DeepX’s earlier chips, the “DX-M1” AI accelerator and “DX-H1” AI server accelerator, were produced using Samsung’s 5nm process, while the “DX-V1” AI SoC solution was made with Samsung’s 28nm process. The “DX-M1” entered mass production last month. ZDNet Korea also reports that DeepX is currently discussing with Samsung the development of next-generation chips using processes more advanced than 5nm.

Another South Korean IC design company, Moblinet, is utilizing both Samsung and TSMC’s foundry services. Its first-generation chip, “Eris,” was manufactured using Samsung’s 14nm process and began mass production in March this year. The second-generation chip, “Regulus,” is being produced using TSMC’s 12nm process and is expected to launch next year after completing testing.

ZDNet Korea also cites industry experts who emphasize that Samsung’s foundry services need to not only focus on attracting large clients but also improve services for smaller fabless companies. Similar to how TSMC grew by nurturing partnerships with small fabless firms, Samsung should bolster its process technology and develop an ecosystem for IP and fabless companies.

According to TrendForce data, TSMC maintained a global foundry market share of 62.3% in the second quarter of this year, while Samsung held an 11.5% share.

Meanwhile, in the race for major international client orders, WCCFTECH reports that Qualcomm is pursuing a dual-sourcing strategy for its Snapdragon 8 Gen 5 chip, partnering with both TSMC and Samsung. Qualcomm has previously attempted this approach, but Samsung’s inconsistent yields thwarted the plan. Qualcomm is now reportedly considering TSMC’s 3nm ‘N3P’ technology for the high-performance variant of the Snapdragon 8 Gen 5, while Samsung’s SF2, also known as 2nm GAA, is expected to be used for a lower-end version.

(Photo credit: TSMC)

Samsung Electronics is reportedly carrying out layoffs in Southeast Asia, Australia, and New Zealand, which could impact less than 10% of its workforce in those regions, according to sources cited by Bloomberg. The scale of layoffs may vary across subsidiaries. The sources also indicated that job cuts are planned for other overseas subsidiaries, with the reduction possibly reaching up to 10% in some markets.

Samsung employs about 147,000 staff internationally, representing more than half of its total workforce of over 267,800, according to its latest sustainability report. Bloomberg noted that Samsung has no plans for layoffs in its home market of South Korea.

In the same report, another source cited by Bloomberg mentioned that employees in Singapore were called into private meetings on Tuesday with HR and managers to be informed about the retrenchment and severance packages.

A Samsung spokesperson told Bloomberg that some overseas subsidiaries are conducting routine workforce adjustments to improve operational efficiency, and the company has not set any specific targets for particular roles.

Bloomberg also highlighted that Samsung has historically adjusted its workforce in response to the cyclical nature of the memory chip market. Recently, the company cut about 10% of jobs in India and parts of Latin America.

In this latest round, Samsung is expected to reduce less than 10% of its overseas staff of 147,000, focusing cuts on management and support roles while aiming to preserve manufacturing jobs. The actual numbers will depend on local labor laws and financial considerations.

(Photo credit: Samsung)

As rumors indicate that Samsung plans to withdraw personnel from its USD 40 billion Taylor, Texas plant, a recent report by The Korea Herald dismisses the speculation. Citing a local economic development chief, the report notes that construction is on track to be finished by mid-2025, and the withdrawal of employees are simply routine rotations.

Quoting Dave Porter, executive director at the Williamson County Economic Development Partnership, the report suggests that Samsung regularly rotates its employees every two years so that they can return to Korea, while another group of workforce has taken their place.

Samsung’s initial projection, announced in 2021 when the investment plan was disclosed, had anticipated the Taylor plant to start its mass production of 4nm in the second half of 2024. But afterwards, the tech giant has reportedly postponed the schedule to 2025, as a previous report by U.S. local media MySA noted that the plant may not begin operations until 2026.

The postponement, according to The Korea Herald, may be primarily attributed to a market downturn.

Regarding the node featured in Samsung’s Taylor facility, another report by Wccftech notes that it was initially expected to produce chips with advanced processes below the 4nm node. The company is reportedly mulling to update its fabrication capabilities in the Taylor fab from 4nm to 2nm, while low yields remain a major obstacle.

Despite the scenario, Porter notes that the construction of Samsung’s Taylor plant is moving ahead rapidly, with around 6,000 workers on-site daily. He estimates that the first fabrication plant will be completed between early and mid-2025, with production kicking off sometime between early and mid-2026, in line with Samsung’s forecast.

According to the report, Samsung expects around 150 suppliers to relocate to Texas to support the new fab’s operations. However, for now, many of the suppliers have scaled back their preparations since early this year, following Samsung’s adjusted timeline.

South Korean-based engineering company Hanyang ENG and semiconductor material supplier Soulbrain are among Samsung’s key suppliers in Taylor, Texas, the report indicates.

Read more

• [News] Samsung Reportedly Buckling Under Pressure, with Plans to Cut Overseas Workforce by Up to 30%
• [News] Samsung Reportedly Suspends Construction and Contract Plans for Pyeongtaek P4 and Taylor Plant 2

(Photo credit: Samsung)