Samsung’s Q1 2025 earnings reveal ambitious plans for its foundry business, especially focusing on the 2nm GAA (Gate-All-Around) process. While the exact stage of development for this next-generation technology wasn’t detailed, Samsung aims to begin full-scale production in the latter half of 2025. The goal is to compete with industry rival TSMC, which has already started taking orders for its 2nm wafers.
Currently, it remains unclear which companies will partner with Samsung for these 2nm GAA wafers. However, there have been discussions with Qualcomm, signaling potential collaborations. Despite setbacks with their 3nm technology, Samsung is pushing forward, reporting a 30% yield during the trial phase for the Exynos 2600.
Samsung’s foundry business faced muted earnings due to factors like seasonal mobile demand fluctuations, inventory adjustments, and fab utilization challenges. Still, it remains focused on improving the 2nm GAA yields and securing additional orders for nodes under 5nm, particularly for AI and HPC applications.
Looking ahead to Q2 2025, Samsung plans to stabilize 2nm production, aiming to address strong mobile and automotive demands in the United States. By H2 2025, the aim is to begin mass production of 2nm, secure major orders, and enhance its specialty process offerings on mature nodes.
For those familiar with Samsung’s quarterly reports, this ambition is not new. While past efforts have sometimes fallen short, there’s cautious optimism this time. Collaboration with Qualcomm could lead to the successful production of the Snapdragon 8 Elite Gen 2 for Galaxy, potentially powering Samsung’s 2026 flagship series.
Samsung had already begun setting up a 2nm GAA line at its ‘S3’ chain in Hwaseong by late last year. Analysts estimated a ten-month lead-up to mass production, so updates are anticipated later this year. Stay tuned for more insights into Samsung’s progress as the year unfolds.
