Intel and Samsung are exploring a foundry alliance to compete against TSMC.

October 23, 2024 (excerpt)

It has been revealed that Intel, a leading semiconductor company in the USA, proposed a comprehensive collaboration in the foundry (semiconductor contract manufacturing) business to South Korea's Samsung Electronics. According to multiple reports, Pat Gelsinger, Intel's CEO, requested a direct meeting with Lee Jae-yong, Samsung's chairman. Through high-level discussions between the two companies, they aim to establish a broad cooperative system in the foundry division.

Behind this move is the monopolistic dominance of the semiconductor foundry market by Taiwan's TSMC. According to a report by the industry research firm TrendForce, in the second quarter of 2023, TSMC's market share reached 62.3%, significantly distancing itself from Samsung's 11.5%. Of particular note is TSMC's overwhelming share of 92% in cutting-edge processes such as 3nm and 5nm.