Overview
- A pricing impasse between Samsung Foundry and Qualcomm has stalled a planned deal to make Qualcomm application processors on Samsung’s 2nm process, and reports on Friday say 2026 mass production now looks unlikely.
- Technical issues do not appear to be the cause because Samsung’s 2nm node has passed validation and shown strong yields on internal Exynos 2600 and Exynos 2700 test chips with positive feedback from Qualcomm engineering teams.
- Samsung’s negotiating stance hardened after it won large, multi‑year contracts such as the Broadcom agreement, which sources say has reduced Samsung’s willingness to offer deep discounts for smaller, lower‑volume orders.
- Industry reports say Qualcomm pressed for lower unit rates because the proposed 2nm run is relatively small and could be cut further by a DRAM and NAND price squeeze, and Qualcomm may have secured initial 2nm capacity at TSMC as a fallback.
- If talks collapse, companies are expected to refocus on later processor programs or TSMC sourcing, a shift that could delay Qualcomm’s competitive product launches and prompt phone makers to consider alternative chip suppliers.