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Samsung delays 1.4nm production, focuses on 2nm and mature node efficiency

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July 3, 2025

July 3, 2025 /SemiMedia/ — Samsung Electronics has postponed mass production of its 1.4nm chips to 2029, two years later than previously planned, the company announced Monday at the SAFE Forum 2025 in Seoul. The move reflects a strategic shift amid persistent underutilization and financial losses in its foundry business.

Initially slated for 2027, the 1.4nm process will now trail rival TSMC, which is targeting 2028 for its own 1.4nm rollout. Analysts interpret Samsung's delay as a response to weakened demand for cutting-edge nodes, which contributed to an estimated KRW 4 trillion loss in its foundry operations in 2023.

In the near term, Samsung will concentrate on ramping up its second-generation (SF2) 2nm process this year, while advancing development of SF2P and SF2X nodes through 2028. The company is also working to improve utilization rates for mature nodes including 4nm, 5nm, and 8nm, in an effort to bolster profitability.

As part of this realignment, Samsung has urged ecosystem partners to develop more robust IP portfolios compatible with its advanced nodes. On the same day, chip designers Telechips and Rebellion announced new collaborations with Samsung Foundry.

Industry experts see the revised timeline as a pragmatic move, reflecting Samsung's pivot from racing TSMC to market toward strengthening the stability and competitiveness of its contract manufacturing business.

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