Negotiations between Samsung and Qualcomm for the production of 2nm processors are far from over. According to information from the South Korean industry, the main obstacle remains price, even though the technical problems that had hindered previous agreements appear to have significantly diminished. Both companies are holding advanced talks, but have not yet managed to align their commercial interests.
The delay in negotiations could have direct consequences for the production schedule. If an agreement isn't reached soon, the chips expected in 2026 might not be ready in time for the phones that were going to use them. In that scenario, the talks would shift to the next generation of processors, delaying Samsung's entry into Qualcomm's 2nm market until 2027.
Qualcomm is asking for a price reduction that Samsung is unwilling to grant.
Qualcomm has reportedly requested a reduction in the manufacturing price that Samsung initially proposed. The South Korean foundry, however, does not appear willing to accept such a discount. Qualcomm's order volume is not large enough to offset less favorable economic conditions. Furthermore, Samsung has adopted a more aggressive pricing strategy in recent years to attract customers and keep its factories busy, but its situation has now changed.
The addition of companies like Broadcom to its client portfolio has given Samsung greater flexibility to review the profitability of each contract. This new balance has hardened its stance in negotiations with Qualcomm , as it no longer needs to accept just any offer to fill its production capacity. The cost of wafers is particularly critical in the most advanced nodes, where investments in lithography equipment and manufacturing processes are extremely high. Each client must adapt its design before production, and if the volume is not high, the fixed costs are spread across fewer units.
For Qualcomm, having a second supplier beyond TSMC is a key factor. Relying exclusively on TSMC for its most advanced processors carries a risk, and diversifying production could give it greater negotiating power, additional availability, and some protection against potential problems at a single factory. However, the lack of an agreement with Samsung leaves that option up in the air.
The 2nm process is no longer a technical problem
The technical aspects appear to have improved considerably compared to previous attempts. Qualcomm used Samsung's foundries for its high-end processors until 2021, but after performance and production issues, it shifted its main orders to TSMC. Now, sources indicate that the 2nm process evaluated by Qualcomm has reached a sufficient level of stability. Samsung uses GAA transistors in this generation , with variants such as SF2 and SF2P, which will also be associated with its future Exynos chipsets.
Positive feedback on these designs has helped demonstrate the technological advancement, but passing a technical evaluation doesn't guarantee a competitive contract in terms of price, energy consumption, or delivery dates. Manufacturing yield remains a decisive factor: a low percentage of functional chips increases the cost per usable unit, while high yield allows costs to be spread across more processors. Samsung's exact figures for this project have not been made public.
The timing could push the agreement until 2027
Smartphone processors need to enter production well in advance to complete packaging, testing, and integration into the final devices. Prolonged negotiations could disrupt the initial timeline , and industry sources anticipate that manufacturing could be delayed until 2027 or even skipped entirely to a future generation. According to reports, TSMC has already received the initial order, meaning Samsung would only participate as a secondary foundry if a deal is ultimately reached.
That formula would require the design to be prepared for both processes, which is no trivial matter. Two factories with 2nm nodes don't automatically share the same libraries or physical rules , so Qualcomm would have to validate each version separately. This engineering work adds time and cost to the project, reinforcing the idea that price and volume are now the main obstacles, not technical feasibility.
Both Samsung and Qualcomm have avoided making public statements about these negotiations. What is known is that the dialogue continues, but without a signed contract or official identification of the processor to be manufactured. Recent history between the two companies also doesn't bode well for a quick agreement: Qualcomm distanced itself from Samsung after 2021, and trust takes time to rebuild.
Nevertheless, the semiconductor market is closely watching this potential agreement. If Qualcomm ultimately confirms Samsung as its second supplier for its 2nm chips, it would be a major boost for the South Korean foundry and would diversify the American manufacturer's strategy. But until the price is agreed upon, the immediate future of this collaboration remains uncertain.
