Google chooses TSMC for Pixel 10, 'shock' for Samsung

After years of working with Samsung to produce Tensor chips for its Pixel phones, Google is reportedly making a big change. According to a report from The Bell (Korea), the upcoming Pixel 10's Tensor G5 chip will be made by TSMC, Samsung's biggest rival. TSMC is also the world's leading semiconductor foundry, producing chips for Apple, Qualcomm and MediaTek.

Google's decision to partner with TSMC instead of Samsung to produce the Tensor G5 chip for the Pixel 10 is considered a "shock" and a wake-up call for the Korean giant's semiconductor business.

Google chooses TSMC to manufacture Tensor G5 chip generation for Pixel 10

The change has caused a huge “shock” within Samsung. The company is said to be conducting a comprehensive audit to analyze the “Google incident”. An industry source revealed: “The loss of Google has exposed the complex problems of Samsung foundry in the clearest way. There are many discussions and concerns going on internally.”

Despite many improvements, Google and Samsung’s partnership in producing Tensor chips has encountered many obstacles. Google has long wanted a fully customized chip, and TSMC was the top choice for this goal.

Samsung is gradually losing itself in the chip manufacturing field.

The report also pointed out two main reasons for Google’s decision. First, “Google’s performance and functionality requirements are increasingly diverse,” while Samsung “lacked the semiconductor design assets” to meet them. Second, and the biggest problem, is that Samsung’s 3nm yield rate is too low.

Not only Google, many other partners are also leaving Samsung. A report in late May showed that Samsung is struggling to find customers because its product completion rate is far behind its competitors. Specifically, the rate of qualified products on Samsung's 3nm process is only about 50%, while TSMC's figure is said to be up to 90%.

However, the relationship between the two giants is not completely over. Although they no longer produce the main processing chip, recent leaks suggest that the Pixel 10 will continue to use 5G modems provided by Samsung.