The business landscape for Samsung and Intel’s foundry services is quite similar. While Samsung Foundry significantly outperforms Intel Foundry, both companies are struggling to secure major clients, most of whom prefer TSMC. As a result, Intel is reportedly looking to establish a partnership with Samsung to improve the outlook of their foundry operations.
According to Maeil Business Newspaper, as reported by SamMobile, Intel has planned a meeting between executives from both companies to discuss this collaboration. It is anticipated that Intel CEO Pat Gelsinger will meet with Samsung Electronics leader Jay Y. Lee to explore what they refer to as a “comprehensive collaboration in the foundry sector.”
Specific details of the partnership remain unclear. However, it is believed that the collaboration will focus on technology exchange between their respective foundry divisions—Samsung Foundry and Intel Foundry. Notably, Samsung Foundry has achieved success with its Gate-All-Around (GAA) technology, while Intel has developed its own advanced technologies, Foveros and PowerVia.
This collaboration and technology sharing are expected to expedite research and development for both Samsung and Intel Foundries. Additionally, this alliance could attract potential clients more easily, considering their combined semiconductor manufacturing capabilities across various global locations.
It will be interesting to see how the partnership between Samsung Foundry and Intel Foundry evolves in the future. Despite their substantial investments and high ambitions, TSMC remains a dominant player with a market share of 62.3%, while Samsung Foundry holds only 11.5%. Intel’s share is even smaller.
Furthermore, Intel has faced billions of dollars in losses in recent years due to its hefty investments in Intel Foundry without securing potential clients. Recently, Intel decided to separate its foundry business into a distinct entity to avoid impacting its primary financial reports. There have even been rumors about the possibility of selling Intel Foundry.