Samsung Raises Chip Manufacturing Prices by Up to 15 Percent
Samsung Electronics increased prices for its 4nm, 5nm, and 8nm chip nodes to capitalize on AI-driven demand and capacity constraints at TSMC.
Samsung Electronics increased prices for its chip manufacturing services by up to 15 percent starting in July, leveraging a surge in demand caused by the AI boom. The price hikes target customers using 4nm and 5nm nodes in the United States and China, where costs rose 10 to 15 percent, while Taiwanese companies saw increases of 5 to 10 percent.
The company also raised prices for its older 8nm node by nearly 10 percent. This specific node is used by Nvidia for the GeForce RTX 3060 series and the chipset for the Nintendo Switch 2. The price adjustments follow capacity constraints at TSMC, which have pushed more customers toward Samsung's foundries.
Samsung's foundry business has been unprofitable since 2022, but the company expects a return to profitability by next year. This outlook is supported by improved yields and high demand for HBM base dies at the Pyeongtaek SF4 production line, which is currently fully booked. Revenue for the division is projected to increase by more than double-digit percentage points in the second half of the year.