Qualcomm has reportedly scrapped its plans to produce a 2nm version of its Snapdragon 8 Elite Gen 2 chip with Samsung, marking a quiet yet significant setback for the Korean tech giant’s foundry ambitions. According to a leak from tipster @Jukanlosreve, internal listings for the chip previously showed two variants: a 3nm TSMC version labelled 8850-T and a 2nm Samsung version labelled 8850-S. The removal of the 2nm Samsung variant suggests that Qualcomm has cancelled the project entirely.
This decision delivers a blow to Samsung Foundry, which has been working aggressively to catch up with TSMC in advanced process technologies. Securing a major Qualcomm order for its 2nm node would have been a milestone for Samsung, positioning it as a stronger competitor against TSMC’s dominant market share. However, persistent yield challenges with Samsung’s 2nm process appear to have undermined confidence in its viability for flagship chips.
The implications extend beyond a single contract. Without major clients like Qualcomm onboard, Samsung’s roadmap for its next-generation foundry services faces additional hurdles. In contrast, TSMC continues to strengthen its position, with both Apple and MediaTek expected to launch 2nm chips using TSMC’s process in 2026.
Qualcomm still plans to introduce 2nm chips in 2026, but these will now be produced exclusively by TSMC. Reports suggest upcoming products, including the Snapdragon 8 Elite Gen 3 and a lower-tier SM8945 chip, will utilise TSMC’s 2nm node. This strategic pivot allows Qualcomm to remain competitive in the race to commercialise smaller, more power-efficient semiconductor nodes while reducing risk by relying on TSMC’s established manufacturing capabilities.
The cancellation reflects broader challenges for Samsung Foundry. While the company remains a leading memory chip manufacturer globally, its logic foundry division has struggled to match TSMC in yield rates, client trust, and advanced node execution. Losing Qualcomm as a potential 2nm client narrows its path to gaining market share in high-end semiconductors and casts doubt on its ability to position itself as a credible alternative to TSMC in the short to medium term.
For Qualcomm, the move consolidates its reliance on TSMC for cutting-edge production, potentially raising future supply chain risks given the geopolitical and capacity considerations associated with a single supplier. However, the trade-off ensures that its upcoming chipsets will launch with proven manufacturing reliability, crucial in a market where performance and efficiency gains are increasingly incremental but commercially critical.
As the semiconductor industry heads towards 2nm and beyond, Samsung’s missed opportunity with Qualcomm underscores the fierce competition and unforgiving economics of advanced foundry manufacturing—where yield, performance, and trust remain the ultimate differentiators.
