TSMC, Samsung Expected to Ramp Up 2nm Mass Production in 2025

As the 2nm chip era approaches, major chip manufacturers are gearing up with their process production plans, hoping to take an early lead. A fresh report now reveals production timelines for the two biggest rivals in the semiconductor space, TSMC and Samsung Foundry — the former targeting H2 2025, and the latter aiming to begin later this year.

Samsung and TSMC gear up for 2nm process production

If you are an avid reader of SammyGuru, you may already be familiar with Samsung Foundry’s struggles. It has faced multiple setbacks in securing deals with key clients due to its poor yield on advanced processes and other factors. Despite being the second-largest player, its gap with industry leader TSMC has widened further in both revenue and market share.

The Korean firm hopes it will bounce back in this space with its cutting-edge 2nm node in the coming months. But its arch-rival, TSMC’s dominance in the industry, is already putting pressure on Samsung. According to a Korean outlet, The Chosun Daily, TSMC plans to begin 2nm process production in the second half of this year, simultaneously at its Baoshan and Kaohsiung facilities within Taiwan’s Hsinchu Science Park. Likewise, Samsung is preparing to start mass production of its 2nm node later this year.

Yield plays a big role in smooth mass production

However, to start mass production smoothly, both chip manufacturing firms must first achieve a reliable process yield. The report says TSMC has secured nearly 70% yield for its 2nm process, which is a stable rate for mass production. On the other hand, Samsung’s current yield for its 2nm process is reportedly around 50%. Industry experts expect that the Korean company will reach a more favorable yield within the next few months.

The report further says that major companies, such as Apple, Nvidia, and AMD, are already in talks with TSMC for its 2nm node in future products. If true, Samsung will need to reach at least 60% yield as soon as possible to attract big clients before they commit to TSMC.

However, Samsung has an advantage, as its 2nm process uses the same Gate-All-Around (GAA) transistor technology as its 3nm process. For TSMC, this will be the first time using GAA, so it will need to work harder to stabilize the technology. It will be interesting to see how both companies perform once they ramp up production.