Flagship 5G Chips Release, TSMC 3nm Demand Soars

The 5G mobile chip market is set for an exciting showdown as MediaTek and Qualcomm prepare to launch their latest flagship products in the fourth quarter. MediaTek's Dimensity 9400 and Qualcomm's Snapdragon 8 Gen 4 will both be produced using TSMC's cutting-edge 3nm process, which has recently entered production. As industry giants like NVIDIA, AMD, and Apple also seek TSMC's 3nm capacity, the demand for TSMC's advanced process technology continues to surge.

According to reports, TSMC's 3nm process capacity is fully booked through 2026. To ensure the successful launch of the Dimensity 9400, MediaTek is working diligently, having already initiated production at TSMC and securing the necessary capacity.

The 3nm process represents the forefront of current semiconductor technology. Earlier this year, TSMC announced plans to triple its 3nm process capacity, although demand still exceeds supply. MediaTek CEO Rick Tsai has hinted at the impressive performance of the upcoming Dimensity 9400, which is expected to significantly outperform the current Dimensity 9300 flagship chip.

Currently, MediaTek's flagship Dimensity 9300 and 9300+ chips are built on TSMC's 4nm process. The transition to the 3nm process for the Dimensity 9400 is anticipated to enhance performance across all metrics, positioning MediaTek strongly in the market.

Qualcomm has yet to reveal specific details and the launch timing for the Snapdragon 8 Gen 4. However, it is expected to utilize TSMC's 3nm process, with a fourth-quarter release anticipated. Rumors suggest that the Snapdragon 8 Gen 4 will be produced using TSMC's N3E process and may be priced 25% to 30% higher than the current Snapdragon 8 Gen 3, with unit pricing ranging from $220 to $240.

Qualcomm's flagship mobile chips have consistently demonstrated strong performance, often accompanied by extensive customer adoption announcements. For instance, the Snapdragon 8 Gen 3, launched in late October last year, was adopted by 15 brands, with Xiaomi President William Lu personally attending the launch event to announce the Xiaomi 14 series as the first device to feature the chip. As the industry eagerly awaits the Snapdragon 8 Gen 4's debut in the fourth quarter, attention is focused on the potential lineup of high-profile brand partners.