From The Elec, via Jukanlosreve:
"Samsung Held a Closed-Door Meeting with Korean Journalists, Summarized by The Elec on YouTube
I’ll translate this for you! Please credit the secondary source.
News: Exynos 2500 to Power Galaxy Foldable Phones
There have already been speculations from various benchmark sites that Samsung was testing the Exynos 2500. The key question was: Where will the Exynos 2500 be deployed? Previous reports suggested it would not be used in the Galaxy S series. It has now been confirmed that it will be featured in Samsung’s foldable lineup, such as the Galaxy Z Flip 7.
(Note: A Samsung representative said “Flip,” but it’s unclear whether it refers to the Flip 7 or Flip FE. Based on my findings, the Flip 7 will use the Exynos 2500, while the Flip FE will feature the Exynos 2400.)
The Significance of Exynos Entering Galaxy Foldables
The journalist interpreted the deployment of the Exynos 2500 in foldables as having two key implications:
1. Breaking Qualcomm’s AP Monopoly
Samsung’s Exynos has entered a segment traditionally dominated by Qualcomm’s Application Processors (APs). This marks Samsung’s first move to increase its chipset adoption in the foldable market.
2. Stabilization of Samsung Foundry’s 3nm Process
Featuring the Exynos 2500 in foldables indicates that Samsung’s 2nd-generation 3nm process has reached a degree of stabilization. However, this still requires final verification through actual products.
Production Volume and Market Limitations
Despite this, Samsung’s production situation remains challenging:
• Samsung’s total smartphone production for next year is estimated at 229.4 million units.
• Of these, the Galaxy Z Flip 7 accounts for only 3 million units (approximately 1%).
• The Flip FE has an even smaller production volume of 900,000 units.
The exclusion of Exynos from flagship devices like the Galaxy S series and its limited deployment in foldables reflect lingering market doubts about Samsung Foundry’s yield rates and process competitiveness.
Challenges in the Foundry Market
Samsung Foundry continues to face difficulties in the global market:
• TrendForce Report: Samsung’s market share dropped below 10% for the first time, reaching 9.3%.
• Competitors:
• TSMC maintains its dominant position with a 64.9% market share.
• China’s SMIC is closely trailing Samsung with 6%.
To narrow the technological gap with TSMC, Samsung must successfully implement next-generation processes like GAA (Gate-All-Around). However, current challenges include yield issues and cost burdens.
Internal Conflicts and Accountability
Reports have surfaced about internal conflicts between Samsung’s design and manufacturing divisions. A high-ranking official acknowledged there were clashes but emphasized that the divisions have now agreed to collaborate to generate synergy.
There were no questions about outsourcing Exynos production to TSMC during the meeting. Analysts suggest that if such a move were made public, it would be seen as admitting Samsung Foundry’s lack of competitiveness—a scenario that would have significant internal repercussions. (Note: Sorry for spilling the beans, Samsung!)
Samsung’s 3nm Process and Future Outlook
Samsung aimed to strengthen its competitiveness in the 3nm market through GAA technology but has yet to deliver clear results.
• Current Status: Qualcomm continues to collaborate with TSMC for AP production, while Samsung’s GAA process remains under scrutiny for yield issues. (Note: The Elec’s editor described the joint next-generation AP development between Samsung and Qualcomm as “facing difficulties.”)
• Short-Term Strategy: Samsung is likely to focus on stabilizing its 4nm process, which has reportedly achieved improved yields and seen increased demand from clients.
• Long-Term Strategy: Samsung must secure competitiveness in 2nm and 3nm nodes to remain a viable player. (Note: The Elec’s editor mentioned Samsung’s 4nm yield rates have stabilized, with growing client demand.)"