Exynos, that's it? Samsung Foundry's chip division is in crisis and at risk of closure

By: Vlad Cherevko | 04.11.2024, 22:32
Exynos, that's it? Samsung Foundry's chip division is in crisis and at risk of closure

Samsung Foundry has faced serious problems this year, including low profitability and abandoned factories.

Here's What We Know

The company plans to cut 30% of its workforce through a voluntary retirement programme, which will leave many employees unemployed. Chip production will also be cut by 50% due to low profitability of just 10%. As a result, Samsung will not be able to improve performance even for 3nm chipsets, and the entire Galaxy S25 lineup is rumoured to be equipped with Snapdragon processors.

Plans to produce 1.4nm chipsets by 2027 are also under threat. While Apple is looking to replace some components with its own alternatives, Samsung Foundry has been unable to attract new customers and may split from Samsung. The company's employees believe the problems are related to the management of top executives. If the situation doesn't improve, Samsung Foundry could close for good.

Source: DigiTimes, Phonearena