Apple, Huawei and Qualcomm will be TSMC's top smartphone customers for 7nm chips next year

Apple, Huawei and Qualcomm will be TSMC's top smartphone customers for 7nm chips next year
Chip fabrication firm TSMC says that its top customers for 7nm chips next year will be Apple, Huawei and Qualcomm. The latter will once again count on TSMC to produce its next flagship Snapdragon 800 series Mobile Platform SoC. Apple will use TSMC to churn out the A13 chipsets powering the 2019 iPhone models. Also counting on TSMC's 7nm process will be other chip designers like AMD, Nvidia and Xilinx, along with a number of firms developing AI chips.

The 7nm node will account for 10% of company revenue for 2018, and will exceed 20% next year when the company starts employing extreme ultraviolet lithography (EUV). This will allow for the production of more powerful chips thanks to EUV's ability to create ultra-fine features. It helps companies like TSMC cram more functionality into each chip. Mass production of such chips will start in 2020 as CEO CC Wei told investors last week. The majority of TSMC's 7nm chip production next year will still be made using TSMC's first-generation 7nm technique. Growth in 7nm production is expected to drive TSMC's revenue growth next year thanks to orders from Apple, Huawei and AMD.

For the current quarter, which runs through the end of the year, TSMC expects to post revenue in a range between $9.35 billion USD and $9.45 billion USD. That would be a gain of 10% to 11% from the previous quarter. For all of this year, TSMC estimates revenue growth of 6.5%, down from its original forecast of top line growth in the 7% to 9% range. Weaker than expected demand for cryptocurrency mining technology is the reason for the lower than expected revenue growth.

source: Digitimes

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20 Comments

1. Sakeem

Posts: 856; Member since: Sep 05, 2012

7. worldpeace

Posts: 3077; Member since: Apr 15, 2016

There's a better way if you want PA write about something. Check here https://www.phonearena.com/tipus (But most likely they won't write it anyway, they never write article based on youtube's video, unless it's from iFixit, Jerryrig, or about Apple's ad)

19. Sakeem

Posts: 856; Member since: Sep 05, 2012

Already did that weeks ago when the first story broke. They ignored it. Guess it's not news worthy. I can't help but wonder if this was about another OEM though.

2. vincelongman

Posts: 5585; Member since: Feb 10, 2013

Will be interested to see what happens in 2020 If Qualcomm will go with TSMC's 7FF+ or Samsung's 7LPP

4. Well-Manicured-Man

Posts: 648; Member since: Jun 16, 2015

Bad news for Samsung for 2019 then.

9. Avieshek unregistered

Isn't TSMC supposed to go 5nm EUV by 2020?

11. Back_from_beyond

Posts: 1091; Member since: Sep 04, 2015

At best risk production

18. vincelongman

Posts: 5585; Member since: Feb 10, 2013

Won't be ready for Qualcomm Qualcomm releases their SoC in Q1, but they usually have working samples in late Q3 the year before So no chance of TSMC's 5nm being ready by 2019 Q3, so it won't be ready for Qualcomm's 2020 SoC TSMC's 5nm might be ready for Apple in 2020 (working samples by 2020 Q1/Q2)

3. Peaceboy

Posts: 640; Member since: Oct 11, 2018

Samsung literally inferior against tsmc

6. worldpeace

Posts: 3077; Member since: Apr 15, 2016

Not really, Samsung's EUV is better than TSMC's 7FF in PPA, and fidelity (CPP+MMP). TSMC will switch to EUV for their 7FF+. I'm sure those companies choose TSMC just because it's cheaper.

8. vincelongman

Posts: 5585; Member since: Feb 10, 2013

No, because: -Samsung's 7LPE wasn't good enough for mass production -Samsung's 7LPP wasn't ready in time for the A12, 980 and even the 855/8150 -Samsung's 8LPP isn't a proper shrink like TSMC's 7FF (it's more of) Q3 2019-2020 will be TSMC's 7FF+ vs Samsung's 7LPP

12. Back_from_beyond

Posts: 1091; Member since: Sep 04, 2015

Samsung's 7nm EUV will likely prove much more energy efficient compared to TSMC's 7nm FF, as well as cheaper to produce. For TSMC sticking with FinFet over EUV increases the likelihood of current leakage resulting in a higher battery drain compared to EUV. There was a small rumor that Qualcomm might still split the production of the SD8150 between TSMC and Samsung due to yield issues that TSMC is having. If that does happen, it would really make the perfect opportunity to see which process is best, for energy consumption, performance gains and the like.

5. ManolitoMantoya

Posts: 9; Member since: Jun 05, 2016

Hhhmmm. I thought China was still not good with Taiwan?

10. umaru-chan

Posts: 327; Member since: Apr 27, 2017

LoL Samsung. Better luck in 2020. Tsmc is eating all the all flagship SoC from Samsung.

13. darkkjedii

Posts: 30696; Member since: Feb 05, 2011

This talk happens every year, and Samsung remains a major player, cause they’re good, and their ability to produce mass volumes fast. We’ll see how it goes though.

14. darkkjedii

Posts: 30696; Member since: Feb 05, 2011

The a Pixel 3 seems to have RAM management issues https://youtu.be/GF2o5NrT5lM

20. Trex95

Posts: 2315; Member since: Mar 03, 2013

The pixel 3 crying for more ram lol. https://youtu.be/vvzt34S36UI Mate 20 Pro Face ID seems doesn’t work as it should! https://youtu.be/0kB05E6I05E Gaming performance mate 20 Pro excllent performance for the first time from Huawei phones, but don’t know how the performance for more than 30 minutes of gaming!

15. Pitrich

Posts: 239; Member since: Apr 13, 2016

Captain obvious over here. Lol

16. strategic_developer

Posts: 1627; Member since: Jul 17, 2018

Now where is that boy who tried to argue with me and say Samsung didn't have the better 7NM? Where you at Apple Rulz. As you can see Samsung took longer because they made the better process which is ready now, while TSMC won't be ready with the same later. Where you now? Speak up? Dont you know the Rulz? Apple fans can never admit when they are wrong.

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