Samsung could produce cutting-edge chips in the U.S. two years before TSMC
Samsung Foundry will be the first to produce 2nm chips on U.S. soil, two years ahead of TSMC.
At the start of this year, we told you that the world's largest foundry, TSMC, is expected to manufacture chips using its 2nm process node in the United States by 2028. The foundry's Arizona facilities will produce the cutting-edge chips and even though TSMC is going to be shipping 2nm silicon from its Taiwan fabs during the second half of this year or early next year, it will still be quite the feather in President Donald Trump's hat to have 2nm chips made in the states just 2 years after they are launched in Taiwan.
In that same report from back in January, we also noted that TSMC won't be the only foundry to build 2nm chips in the States. Samsung will also be producing 2nm chips in the U.S. as the company hopes to join TSMC in taking advantage of President Trump's desire to have cutting-edge semiconductors built in the U.S. along with major consumer electronics like the iPhone.
The article we published in January said that Samsung was building a fab for advanced chip production in Taylor, Texas. Now, five months later, Samsung has started preparing production lines at the Taylor facility. We could see 2nm chips roll off the line in Taylor starting next January or February which would be two years ahead of TSMC's 2028 target for 2nm production in the U.S.
There has been plenty of interest from tech firms interested in buying U.S.-made advanced chipsets, especially in light of the tariffs imposed by President Trump. Semiconductors built in the U.S. would not be subject to tariffs which are simply import taxes placed on products imported into the U.S.
Even with a head start as long as two years over TSMC's U.S. 2nm production, Samsung Foundry must get its yield up. | Image credit-RetailNewsAsia
Globally, Samsung Foundry is well behind TSMC in global market share and part of the reason is Samsung Foundry's poor yields on advanced process nodes which drives up the prices customers pay for the chips they purchase. Samsung's plans originally called for it to produce 4nm chips in the U.S. at first. Despite spending heavily on the project, the Korean firm didn't manufacture one 4nm chip in the U.S. which has many questioning whether Samsung can build 2nm chips in the U.S.
As it always seems to be when discussing Samsung Foundry, the Foundry's yield is key. Supposedly, Samsung has achieved a 40% yield with its SF2 (2nm) production compared to 60% for TSMC. Typically a yield of 70% or higher is needed to start mass production so while Samsung hopes that it can take advantage of the two-year head start it will have producing 2nm chips in America, the story remains the same: Samsung needs to get its yield up so that it can start mass production at the 2nm node in the U.S.
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