ASML, renowned as the globe’s leading producer of chipmaking equipment, recently adjusted its 2025 sales forecast downward, citing market challenges. Although the company did not directly name its clients, it is suggested that Samsung delayed receiving equipment from the Dutch firm for their Taylor facility in Texas.
Samsung has faced a significant downturn in its foundry sector, unable to secure pivotal chip orders due to subpar yields from its 3nm GAA process. This failure, among other issues, compelled Samsung to issue an apology during its Q3 2024 earnings preview. Samsung admitted that it had missed an opportunity to capitalize on the AI surge and failed to attract NVIDIA as a customer for its HBM memory products.
Industry insiders have revealed that Samsung postponed the acquisition of ASML’s advanced EUV machines, which are indispensable for 3nm GAA wafer production, due to lack of substantial customer orders. This hesitation has forced potential clients to explore other vendor options. Despite previous rumors about withdrawing staff from the Texas facility, a Samsung executive refuted these claims and confirmed that the plant remains on schedule for mid-2025 completion. Nevertheless, it’s widely acknowledged that Samsung lags behind industry leader TSMC.
Some Korean companies, traditionally reliant on Samsung, have transitioned to TSMC for its advanced production nodes, further impacting Samsung’s market standing. In response, Samsung has streamlined its semiconductor divisions, reducing executive numbers to steer towards profitability.
On the financial aspect for ASML, each of their EUV machines is valued around $200 million. Thus, Samsung’s decision to delay these deliveries appears judicious, especially when no immediate clients are available to utilize the advanced technology.
