The Snapdragon 8s Gen 3 has found a place between the Snapdragon 8 Gen 3 and Qualcomm’s previous-generation Snapdragon 8 Gen 2, taking various features of both SoCs to mass produce a cheaper solution for phone makers while delivering the same flagship experience. However, what prompted the San Diego firm to pursue such a chipset release, and could this trend be maintained next year too, after the release of the Snapdragon 8 Gen 4? Here, we discuss the possibilities of a Snapdragon 8s Gen 4 launch and why it makes sense going forward.
First things first, why did Qualcomm proceed with a Snapdragon 8s Gen 3 launch?
If you noticed, there is no ‘Snapdragon 8 Plus Gen 3’ this year, though we still have the Snapdragon 8 Gen 3 for Galaxy which operates at higher CPU and GPU clock speeds. Instead, Qualcomm took a step backward regarding chipset progression, choosing to launch the Snapdragon 8s Gen 3, which would be slower than the company’s top-end offering, but why now? With every passing year, fabless semiconductor manufacturing companies such as Qualcomm and MediaTek are pushing toward the mass production of cutting-edge SoCs that aim to get the better of their rivals in both performance and power consumption by using advanced lithography.
With Qualcomm and MediaTek, we should see their Snapdragon 8 Gen 4 and Dimensity 9400 as the first 3nm smartphone chipsets to be found in premium devices. Unfortunately, designing, fabricating, and producing thousands of wafers using the 3nm process is expensive, and those prices have yet to see a reduction. At this point, we just have to accept that these chipsets will continue to get pricier, and that only means that Qualcomm’s phone partners will either have to raise their prices to maintain their profit margins, but at the risk of lowered smartphone sales, or absorb some of those cost increases by selling to customers at competitive prices.
None of these decisions is the ideal path, and one would argue that the only winner out of this is Qualcomm, but not quite. As Qualcomm continues to raise the prices of its chipsets, its partners are left with two choices. For giants like Samsung, they can pursue the development of their own chips, such as the Exynos 2400. However, not every smartphone maker has vast resources and talented teams to seek alternatives like this, so what is the next best option? Switch to Qualcomm’s competitors, which, in this case, is MediaTek. With the Dimensity 9300 and past silicon launches, the Taiwanese firm has proven that it can compete with Qualcomm in the premium space.
A recent report even revealed that with the exception of Google, MediaTek is now working with every Android smartphone brand in Q1 2024 and has developed 15 chipset designs for its clients. The Dimensity 9300’s success will also allow MediaTek’s global market share to reach up to 35 percent in 2024, and if it decides to compete with the Snapdragon 8 Gen 3 on a pricing match, that will spell trouble for Qualcomm. Remember, the Snapdragon 8 Gen 3 is already estimated to cost $200, which would likely be making various Android phone manufacturers nervous, with the only sliver of hope being offered in the form of MediaTek.
This fear emanating from Qualcomm’s side regarding MediaTek’s impending threat is what eventually materialized the Snapdragon 8s Gen 3, but does that mean a future can exist for the Snapdragon 8s Gen 4?
With the Snapdragon 8 Gen 4 already tipped to be more expensive than the Snapdragon 8 Gen 3, a Snapdragon 8s Gen 4 can provide an affordable haven for Qualcomm’s partners
A Qualcomm executive has previously hinted that the Snapdragon 8 Gen 4 will be more expensive than the Snapdragon 8 Gen 3 as Qualcomm switches to its custom Oryon cores this year and, in the act, completely ditch ARM’s CPU designs. When a single component crosses that $200 mark, smartphone manufacturers will be pushed into a corner, and in this position, they will have little option but to retaliate. In this predicament, Qualcomm offers its clients a way out, a path to profitability while only sacrificing minor performance, and that could be the case with the Snapdragon 8s Gen 4.
Like the Snapdragon 8s Gen 3, the Snapdragon 8s Gen 4 could be a slower version of the Snapdragon 8 Gen 4 with reduced clock speeds, but it can have the edge by maintaining the same custom Oryon cores. Qualcomm could also give its partners some additional incentive by fabricating the Snapdragon 8s Gen 4 on TSMC’s 3nm ‘N3E’ process instead of the 4nm variant, giving future smartphone owners a taste of what it is like to experience a silicon that is slightly slower but is still a member of the cutting-edge node family.
From a business perspective, Qualcomm could breathe new life into its smartphone chipset division with the Snapdragon 8s Gen 4 launch, and with Huawei severing ties with the company thanks to the introduction of its Kirin 9000S, it is high time that the company has more creative ideas like this on how to regain the top position in the market.
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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