The Samsung Foundry plant in Taylor, Texas — which was practically abandoned some time ago — is finally looking like it will become a reality. Samsung has procured a subsidy worth $4.7 billion: a 26 percent decrease from the initial amount of $6.4 billion.
This decrease is apparently due to Samsung renegotiating its investment plans. The plant was supposed to have come online this year but was instead left with a skeleton crew after Samsung withdrew its personnel. This was just one instance of Samsung clearly displaying a troubled foundry business.
With the new subsidy in hand I think it’s safe to say that Samsung hasn’t completely abandoned its plant in Texas. The new timeline states that it will be up and running in 2026. By then Samsung may have improved its 2 nm yields and it might actually be able to give its plans for 1.4 nm chips by 2027 a fair chance.
Samsung has had to abandon Exynos for the entire Galaxy S25 lineup. | Image credit — PhoneArena
Samsung Foundry’s rival TSMC (Taiwan Semiconductor Manufacturing Company) on the other hand has reportedly paused a U.S. plant’s completion. This is in response to the recent U.S. elections and the uncertainty surrounding president elect Donald Trump’s proposed tariffs. He has also said some things about TSMC stealing American business which has likely soured the company’s view of the entire situation.Samsung Foundry just recently stabilized the yields of its 3 nm chip manufacturing and will move on to mass production soon. This may have led to the renewed interest in getting the Taylor, Texas plant online. Whatever the reason was, I’m happy to see Samsung Foundry notch some wins. Especially after reports that Samsung held internal talks about letting TSMC manufacture Exynos chipsets.If Samsung can achieve even half of the gains with Exynos that Apple did when it switched to Apple silicon the Galaxy phones will become so much better. And that’s just a net positive for the end consumer.Currently Galaxy phones are more expensive than iPhone and switching to Exynos may help bridge that gap somewhat. Especially after reports of Qualcomm significantly hiking the cost of its upcoming Snapdragon 8 Elite Gen 2.
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