Next year, we will bear witness to Apple’s first 2nm chipsets, the A20 and A20 Pro, which are expected to be found in the iPhone 18 lineup and iPhone Fold, followed by the base iPhone 20 in early 2027. Given that the A-series of SoCs are estimated to be produced in the millions, it is no surprise that Apple has been reported to have secured more than half of TSMC’s initial 2nm production capacity to keep the competition at bay. However, the latest report states that even the Cupertino firm is facing shortages as TSMC is overwhelmed with demand for its next-generation technology. However, this setback doesn’t mean Apple will turn its sights towards Samsung and its 2nm GAA process.
Various companies could opt for Samsung’s 2nm GAA process due to TSMC’s production problems, but Apple will likely stick with one foundry partner for now due to the Korean firm’s past mistakes
With TSMC reportedly adamant about keeping the latest and greatest manufacturing process on its home turf of Taiwan, it prevents the semiconductor behemoth from establishing a robust supply chain in the U.S., which will not be treated to the most advanced lithography. Sure, the company is said to be planning the construction of three additional 2nm facilities to sate demand, but that doesn’t make the situation any less difficult, not to mention that its lucrative customers, such as Apple, are facing chipset shortages.
According to EBN, the California-based giant has secured almost half of the initial supply, which is the opposite of what we previously reported, when a separate report claimed that Apple had pre-ordered more than 50 percent of TSMC’s 2nm capacity for its A20 and A20 Pro. Whatever the figure might be, it is unlikely that the company will switch foundry partners, meaning that teaming up with Samsung to utilize its 2nm GAA technology might be out of the question.
The Korean titan just recently announced the world’s first 2nm GAA chipset, the Exynos 2600, and is expected to begin mass production of the aforementioned lithography at its Taylor plant in the U.S. as early as next year, outpacing TSMC in establishing a global supply chain. The company has also signed a multi-billion-dollar deal with Tesla, along with fulfilling 2nm GAA orders for two Chinese cryptocurrency equipment manufacturers, signaling that there’s immense potential for its 2nm GAA node.
Why would Apple not want to form a partnership with Samsung, despite the latter’s progress in sub-3nm processes?
Apple might not entertain a tag-team because it recognizes TSMC’s ability to maintain higher yields and would not want to fall out of favor with its only foundry partner. No report or source has been successful in confirming Apple’s and TSMC’s secret alliance and the sort of concessions granted to the phone maker, but if the deal wasn’t as salivating, then Apple would have already established a close business relationship with Samsung.
Also, it is too early to confirm the 2nm GAA’s success, because, going by the estimates of previous reports, when Samsung first commenced the Exynos 2600’s mass production in September, yields were only at 50 percent. To make this technology economically viable, Samsung needs to take that figure to 70 percent, which is a feat that TSMC almost achieved when it commenced 2nm trial production in December 2024, as the yields were at an estimated 60 percent.
Apple has not yet entered talks with TSMC about leveraging its A16 node, hinting that after the 2nm process, the company will set its sights on A14, taking the partnership to brand-new heights. Then again, wafer prices are slowly getting out of hand, particularly A14, which is said to set back customers by $45,000 per unit. Examining this trend alone, Apple might want to reconsider making Samsung an alternative and have a better advantage for the future.
News Source: EBN
About the author: Omar Sohail is a reporter and analyst for Wccftech's mobile section, specializing in the technology and business of the mobile industry. His expertise lies in the intricate hardware supply chain, covering developments in semiconductor manufacturing, chip lithography, and camera sensor technology.
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