TSMC, Samsung set to begin 2nm chip production

Taiwan’s TSMC and South Korea’s Samsung Electronics, the world’s top two contract chipmakers, are expected to mass-produce 2-nanometer (nm) semiconductors in the second half of this year. Samsung, aiming to recover profitability in its foundry business, is working to improve yields on its advanced nodes while also securing meaningful orders in mature process technologies.

According to the semiconductor industry on Saturday, TSMC plans to begin 2nm production at its Hsinchu and Kaohsiung fabs in Taiwan later this year. The 2nm process will feature gate-all-around (GAA) transistor architecture, which Samsung first introduced at the 3nm level. Key customers such as Apple, Nvidia, and AMD are expected to launch next-generation products based on TSMC’s 2nm chips.

In its first-quarter earnings report this month, Samsung disclosed that it would start producing 2nm chips for mobile applications in the latter half of the year. “We plan to begin mass production and shipment of 2nm mobile products in the second half,” the company said. “Through successful ramp-up, we aim to secure demand from key clients.” Industry observers believe the 2nm process will be used in the Exynos 2600, the application processor (AP) expected to power the Galaxy S26 flagship smartphone early next year.

In the current cutting-edge 3nm segment, TSMC has taken the lead by stabilizing yields ahead of rivals and securing exclusive deals with major customers. According to market research firm Counterpoint Research, TSMC’s 3nm line reached full capacity utilization in just five quarters, its fastest ramp-up to date.

Meanwhile, Samsung has been expanding its client base in China, particularly among local fabless companies using legacy nodes, as TSMC’s presence in the Chinese market has weakened amid intensifying U.S.-China tensions. During its first quarter earnings call, Samsung said it would boost production to meet strong demand from North American customers while also hedging risks from the U.S.-China trade conflict to improve overall performance.


Do-Young Kwak now@donga.com