TSMC May Manufacture Majority Of Snapdragon 8 Gen 3 Chips

Chipset making giant Qualcomm is likely to source the manufacturing of Snapdragon 8 Gen 3 chips to TSMC and Samsung.

TSMC is likely to get the majority of chipset orders built on the 3-nm process because of the incredibly high 80 per cent yield rate. ( Image: Getty )

Chipset making giant Qualcomm is likely to source the manufacturing of Snapdragon 8 Gen 3 chips to TSMC and Samsung. TSMC is likely to get the majority of chipset orders built on the 3-nm process because of the incredibly high 80 per cent yield rate, says a report by GSMArena.

The GSMArena report added, the current yield rate from a 3-nm GAA wafer is about 60-70 per cent. However, Taiwan's TSMC is managing to implement between 75-80 per cent of a single wafer. If this data is to be believed, tech giant Apple and Qualcomm will not have shipment issues for their next-gen chipsets, the A17 Bionic and Snapdragon 8 Gen 3, respectively.

South Korean giant Samsung experienced a horrendous yield rate of about 20 per cent before joining hands with US-based company Silicon Frontline Technology.

Meanwhile, Taiwan Semiconductor Manufacturing Company Limited, popularly known as TSMC, which is one of the key iPhone makers for Apple said last month that it would more than triple its planned investment at its new chip manufacturing plant in the US state of Arizona to $40 billion, among the largest foreign investments in US history.

This development came after US President Joe Biden visited and hailed TSMC's facility in Arizona, said a report by news agency Reuters. TSMC has already announced its plans to set up a factory in Arizona, which is set to open in 2024. This also comes amid Apple CEO Tim Cook confirming that Apple will buy US-made chips at an event in Arizona where Biden also spoke.

Mark Liu, chairman of TSMC has estimated annual revenue of $10 billion when the two planned chip fabrication plants open, adding that customers would have annual sales of $40 billion from products using chips made there.

To recall, earlier in November, Apple said it is planning to use chipsets from a factory in the US state of Arizona starting in 2024, in an attempt to reduce its dependency on Asian production, which has been disrupted due to workers' unrest in China. The tech giant is also planning to source chips from Europe in the future.