Most Android manufacturers use Qualcomm Snapdragon chips to power their handsets, with the exception of Huawei who makes its own silicon, and Samsung, which power some of its smartphones with its own Exynos chipset. However, recently it was reported that most variants of the Galaxy S11 will be underpinned by the Snapdragon 865 as the South Korean giant believes it is better than its own silicon, the Exynos 990.
At the same time, the Korean giant wants to increase its chip foundry business and the only way it can is to take new orders from Qualcomm. According to a new report, Qualcomm intends to maintain its lead over Samsung and to obtain that edge, Snapdragon 865 orders may not be given to Samsung.
Qualcomm May Think That Providing Snapdragon 865 Orders May Lead Samsung to Make a Proper Exynos Equivalent SoC
It was initially believed that the Snapdragon 865 would be made by Samsung, but a new report says that the order instead went to TSMC. That’s apparently not because Qualcomm thinks TSMC is any better, but because it reportedly doesn’t want Samsung to know its trade secrets and design drawings which it can then potentially use to improve its own Exynos chipsets.
On the other hand, the mid-tier Snapdragon 765 and Snapdragon 765G chips will apparently still be manufactured by Samsung, but they aren’t Qualcomm’s crown jewel by any means. In one way, getting Snapdragon 765 and Snapdragon 765G orders is good news for the South Korean giant, as its market share has apparently reduced in recent times, while TSMC still continues to dominate the industry.
With Samsung having shut down its custom core development facility due to being inferior in both performance and efficiency, and by extension, not competitive, it seems that Qualcomm has nothing to worry about. However, it turns out that the manufacturer still wants to be on the safe side and guard its intellectual property.
Apple and Huawei already make their own chipsets so they are least bothered about this. OPPO is apparently also planning to make its own SoC to power its phones. Not sharing its design with Samsung and weakening its business further by not giving its orders sounds like a pragmatic decision on Qualcomm’s end. Otherwise, in the worst-case scenario, Samsung might overtake it down the road, but that’s very unlikely for now.
Source: Business Korea