Samsung Foundry has kicked off mass production of its fourth-generation 4nm chips, in a bid to close the gap with TSMC in the semiconductor race. According to ZDNET Korea, the latest process node โ SF4X โ brings significant improvements, including Back End Of Line (BEOL) wiring tech. This boosts chip performance and reduces manufacturing costs.
Samsung boosts 4nm chip mass production, secures contracts from Grok and HyperExcel
Samsungโs fourth-generation 4nm chip process (SF4X) features high-speed transistors and supports advanced packaging technologies like 2.5D and 3D. With AI chips driving demand, Samsung has secured contracts with Elon Muskโs AI firm Grok and South Korean chipmaker HyperExcel. Both of which are betting on the Samsungโs SF4X process for next-gen semiconductors.
Despite its aggressive push, Samsung has struggled to win back major clients lost to TSMC. The issues with its earlier 5nm and first-generation 4nm processes cost the company key customers like AMD, Nvidia, and Qualcomm. Meanwhile, TrendForce reports (via ZDNET Korea) that TSMCโs market share climbed from 64.7% in 2023 to 67.1% in 2024. Meanwhile, Samsung Foundryโs slice of the pie shrank from 9.1% to 8.1% in the same period. This is not shocking, at all, given Samsungโs struggles at chip manufacturing division.
Thankfully, Samsungโs 4nm process is reportedly more stable now, offering a fighting chance in the AI semiconductor space. According to Samsungโs own business report, mass production of SF4X began in November 2023. The company is banking on this technology to regain lost ground, especially as demand for AI chips skyrockets. Grok signed on for SF4X production in the second half of 2023, while HyperExcel aims to start mass production by early 2025.
TSMC continues to widen the gap, while Samsung struggles to win back major clients. Hence, the SF4X could be the breakthrough. If all goes well, this could be the lifeline Samsungโs foundry business desperately needs. If not, well, the writingโs already on the wall.
