Samsung Foundry in crisis due to unstable yields

Samsung Foundry business is in much trouble due to unstable yields. Technological setbacks are also hurting the company’s semiconductor production business. Samsung is considering major changes to revive itself in the Foundry market.

According to the info, Samsung Foundry is facing challenges due to consecutive losses and technological setbacks. The cutting-edge 3nm process has failed to win production orders due to issues such as unstable yields.

While TSMC continues to grow, Samsung Foundry’s decline is widening the gap in the market. The Taiwanese chip maker held a commanding 62.3% market share in the second quarter, compared to Samsung’s 11.5%.

That said, the Korean tech giant is considering strategic changes, including spinning off the foundry business and listing it in the US. Samsung’s upcoming financial results will provide insights into the severity of its foundry crisis.

Samsung’s Exynos 2500 chip made using GAA 3nm process also has a low yield, making its inclusion in the Galaxy S25 series uncertain. The 2nm process node has also faced delays, further complicating Samsung’s technological roadmap.