The Z series phones have seen less than stellar sales. | Video credit — Samsung
Samsung Foundry is still working on its plans for 2 nm and even 1.4 nm chips. The Exynos deal with TSMC was likely a short-term solution until the foundry’s own manufacturing processes were perfected. Though TSMC’s rejection will set Samsung back a few steps it won’t stop the company from implementing Exynos in its phones altogether.
Much like Apple silicon, Galaxy phones powered by Samsung’s own in-house Exynos chips could surpass the competition handsomely if said chipsets are properly optimized. The Galaxy phones are already some of the best phones in the world and TSMC’s rejection isn’t going to change that.