TSMC has problems: 2nm chips are only sufficient for the most expensive smartphones
The next generation of smartphone processors based on 2-nanometer production could be significantly more limited in availability for many manufacturers than previously expected. Because production at TSMC is starting with obstacles.
Less output than expected
There are ongoing difficulties in mass production of the highly complex chips, which leads to limited capacity and lower yields, reports the US magazine WCCFTech. At the center of the development is the contract manufacturer TSMC, which is considered a technological pioneer in 2nm lithography, but according to industry observers has not yet achieved the necessary yield rates for smooth large-scale production.
A well-known industry insider reportedly reports that the current yield values generally enable production, but are not sufficient to fully meet the strong demand from large smartphone manufacturers. Manufacturers could therefore be forced to differentiate their device range more than originally planned.
In particular, the most powerful 2nm system-on-chips should in future be reserved for “Ultra” or “Pro Max” models, while cheaper variants could be equipped with slimmed-down processors. Additionally, the situation is exacerbated by a parallel shortage of DRAM components, which is further straining supply chains. As a possible response, a trend towards dual-chip strategies is already emerging.
For example, Qualcomm is expected to work with several variants of its upcoming Snapdragon generation in the future, including a standard and a premium model. Similar approaches are also likely at Apple, where different performance levels of the A20 series are being discussed for the next iPhone generation.
Differentiation necessary
MediaTek is also said to be planning corresponding chips in various expansion stages in order to offer manufacturers more flexibility in device positioning. While the top models would use the full performance of the new production, the cheaper variants remained technically more reserved.
Last but not least, it shows that even major competitors such as Samsung are having difficulty achieving comparable 2nm manufacturing yields to TSMC, which further intensifies the competition for the most modern chip capacities. Despite the current bottlenecks, experts emphasize that the situation cannot be attributed solely to the manufacturers. The pricing policy of chip customers and the high complexity of the new structural technologies also play a decisive role.
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