Recovery of Samsung’s 4nm process and rising customer demand

December 9, 2025 /SemiMedia/ — Samsung Electronics is showing signs of recovery in its semiconductor foundry business as yield rates for its once-troubled 4nm process have improved to roughly 60% to 70%, according to industry sources. The progress has helped Samsung secure an order of more than US$100 million for all-in-one OPU chips from U.S.-based Tsavorite Scalable Intelligence.

Tsavorite is developing a processor that integrates CPU, GPU and memory on a single device, and has placed an order worth about KRW 150 billion with Samsung. The AI firm was reported last year to have received substantial pre-orders for its upcoming chips, though the manufacturing partner was not disclosed at the time.

Foundry business outlook and Samsung’s strategic momentum

For Tsavorite, adopting a mature manufacturing node allows significant cost savings, especially as demand for 3nm and 2nm capacity continues to rise. Samsung may also offer competitive pricing on 4nm wafers to strengthen utilization of the node amid fierce competition in advanced processes.

Samsung has faced persistent yield issues across several generations—from 4nm to its 3nm GAA technology—which contributed to the loss of important orders to TSMC. But recent developments suggest a gradual turnaround. The company has won new business from two Chinese cryptocurrency mining equipment makers and reportedly secured a large-scale deal with Tesla valued at around US$16.5 billion.

While Tsavorite’s order is small relative to Samsung’s overall scale, analysts say it marks another incremental step toward stabilizing the company’s foundry operations. Continued improvement could help Samsung move closer to its target of turning the foundry unit cash-flow positive by 2027, supporting the company’s broader ambition to achieve roughly US$69 billion in profit by 2026.