NVIDIA is rumored to be scrapping TSMC’s 2nm process and turning to Samsung Foundry instead, given the high costs involved and the Taiwanese giant’s growing influence in price control.
NVIDIA and other tech giants focus on diversifying 2nm supplies in China, including partners beyond TSMC
Well, TSMC’s 2nm advantage may be in jeopardy here as mainstream industry clients are now turning to alternatives. According to a report by Ctee citing South Korean media, NVIDIA and others are canceling 2nm orders from the Taiwanese giant and moving to Samsung Foundry and others, as stakeholders believe the cost of 2nm is too high. It is said that discussions are underway. Up for adoption now. Since TSMC is the only “trusted” supplier, the company uses this stance to control prices.
Before we get into the report, it’s important to take this rumor with a grain of salt. Currently, mainstream 2nm suppliers include TSMC, Samsung, and Japanese company Rapidus, with the latter two “clearly” behind the Taiwanese giant in terms of yield. This trend has been consistent with previous nodes, but given that TSMC’s major customers are now focused on diversifying their 2nm supply and adding new partners, it will face even greater competition this time around. It seems that it will be.
Notably, NVIDIA is said to be considering the option of acquiring 2nm from Samsung Foundry. However, given Samsung’s past track record with customers such as Qualcomm, the company is reluctant for now. Separately from Team Green, we recently reported how Qualcomm plans to adopt a “dual sourcing” strategy that includes both TSMC and Samsung in its 2nm supply chain. So it’s not wrong to say that the next “big process” will be the next “big process.” There may be more competitors than just TSMC.
For now, 2nm adoption appears to be slowing, given that Apple has changed its plans to 2026 and NVIDIA and Qualcomm are exploring other options, but it seems likely that 2nm adoption will slow down in consumer products. The integration seems to take some time. However, given the failure of Samsung’s 2nm process to make an impact on the market, the company has no other choice and will likely end up going back to TSMC.
