5.18.2022

Qualcomm has made it into Samsung's top five clients by virtue of its chip contract

Qualcomm has made it into Samsung's top five clients by virtue of its chip contract

In the first quarter of this year, Qualcomm managed to make it into Samsung Electronics' top client list for the first time, according to Korea's Yonhap News agency.
This was helped by an increase in revenue the Korean contractor receives from contract manufacturing services for mobile processors for the U.S.
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Together, the top five customers account for about 14% of Samsung's revenue.Image source: Samsung ElectricsIn the last quarter, Qualcomm swapped places with Verizon on this list, although German telecom operator Deutsche Telekom retained its position among Samsung's largest customers.
Traditionally, competing with the Korean giant Apple is also among its largest partners, because it depends on Samsung in the supply of components for smartphones - the same displays, for example.
Best Buy and Supreme Electronics round out Samsung's top five sources of revenue.In December, Qualcomm executives confirmed that Samsung's 4nm technology will be used to produce the Snapdragon 8 Gen 1 mobile processor.
Now rumors attribute Qualcomm's rejection of the Korean contractor's services in the release of the Qualcomm Snapdragon 8 Gen 1 Plus processor, which will be released this Friday.
It is believed that it will be produced by rival TSMC.
Qualcomm's history of tossing from TSMC to Samsung and back is quite extensive in its content, but in terms of business strategy is intended to diversify the risks of dependence on a single processor supplier.According to TrendForce data for the fourth quarter of last year, TSMC controlled 52.1% of the global market for semiconductor contract manufacturing services, while Samsung Electronics was content with 18.3% of the market.
Last month, representatives of the Korean giant said that there is a high demand for the core services of the company, as well as the reduction of defect rates in the use of advanced technological processes.
Rumors about Samsung's intentions to raise prices for its services by up to 20% have not yet officially commented, but the Korean company's management in recent months is not tired to repeat that the pricing policy should be realistic and take into account the need to invest in expanding and modernizing production.

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