According to supply chain sources, AMD has discontinued its collaboration with Samsung Foundry concerning the 4nm process, opting instead to transfer its EPYC server CPU orders to TSMC's facility located in Arizona, USA. AMD has also confirmed that the next generation of EPYC "Venice" processors will utilize TSMC's 2nm technology, becoming the inaugural high-performance computing (HPC) products leveraging this process.

Previously, AMD had teamed up with Samsung, intending to employ Samsung's SF4X 4nm process for manufacturing processors based on the Zen 5c architecture, including EPYC server CPUs, Ryzen APUs, and Radeon GPUs among other product categories. This collaboration was viewed as AMD's strategy to diversify its supply chain and lessen reliance on a single foundry. However, Samsung still faces challenges, as there's a significant disparity in advanced process yields compared to TSMC, which led AMD to eventually discontinue this arrangement. Industry analysis indicates that although Samsung's 4nm process yield has improved from 50% at the start of the year to 75%, nearing TSMC's 80%, it still falls short of meeting AMD's rigorous standards for high-performance server chips. Additionally, Samsung's 3nm yield hovers at only 60%, currently focused mainly on its products like the Galaxy Watch7, making it challenging to draw in external high-end clients.

In comparison, TSMC's 4nm technology has exhibited mature technical proficiencies and reliable production performance. TSMC's Fab 21 in Arizona initiated mass production of 4nm chips by the end of 2024, and its early clients include AMD, Apple, and Qualcomm, among others. Certain AMD's EPYC server CPUs, such as the fifth-generation EPYC 9005 series, have already adopted TSMC's 4nm process, boasting up to 128 Zen 5 cores or 192 Zen 5c cores, significantly enhancing both performance and energy efficiency. TSMC's supply chain versatility and global presence offer AMD more dependable production solutions. The second facility in Arizona is anticipated to commence production in 2028 and will exploit 2nm and 3nm technologies.

Within the realm of 2nm technology, TSMC's N2 process has captured industry attention. AMD's EPYC "Venice" processor, based on the Zen 6 architecture, has completed the flow and entered the validation phase, with commercial availability slated for 2026. This is TSMC's first HPC product employing the 2nm process, signifying AMD's technological leadership in the HPC sector. TSMC's N2 process uses nanosheet transistors (GAAFETs), offering a 10 to 15 percent performance boost over the 3nm process (N3E) at equivalent power consumption, or a 25 to 30 percent reduction in power usage at identical performance levels. Its defect density is now comparable to the 3nm and 5nm nodes, showcasing the swift maturation of the process. TSMC anticipates commencing mass production of 2nm chips in the latter half of 2025, with an initial monthly capacity of approximately 50,000 wafers, expected to double by 2027.

In terms of market demand, TSMC's 2nm technology has attracted numerous tech industry giants. Apple plans to employ it for the iPhone 18 series A-series chips, NVIDIA may use the technology within the Vera Rubin architecture, and AMD, as one of the premier 2nm clients, is positioned to further expand its server market share thanks to the breakthrough layout of EPYC "Venice." TSMC's 2nm capacity planning is notably proactive: in addition to its Taiwan plant, the third facility in Arizona is projected to commence 2nm chip production in 2028, ensuring sustained supply capability.

Currently, Samsung is actively advancing the development of its 2nm technology, with plans to start mass production in 2025, employing a discount approach to lure customers such as NVIDIA and Qualcomm. Moreover, Samsung's achievements in the HBM4 high-bandwidth memory field have garnered the attention of NVIDIA, Google, and Broadcom. Despite its efforts, Samsung's market share in advanced processes significantly trails behind TSMC, which commands about 62% of the global foundry market in 2024 and maintains a nearly 100% capacity utilization rate for its 3nm and 5nm processes.

TSMC's 2nm process is undeniably a trendsetter in the semiconductor industry, with its technical edge and market demand reshaping the foundry ecosystem. Moving forward, with full-scale mass production of the 2nm process and the onboarding of more customers, TSMC is poised to consolidate its leadership in the industry, pending how Intel's 18A development unfolds, which, if successful, would invariably alter the market landscape.