Samsung's first 2nm chip order is from a Japanese startup which didn't order from TSMC

Samsung has reportedly won a contract from a Japanese startup, building their new chips on Samsung's fresh 2nm process node... taking the 2nm battle to TSMC's doorstep in 2025 and beyond.

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Japan's Preferred Networks (PFN) is a startup that specializes in research and development of deep learning for IoT applications and is often referred to as the most advanced firm in Japan through its resources and expertise in developing custom software and supplying various customers with supercomputers.

In a new report from Seoul Economic Daily, Samsung has reportedly inked a new deal with PFN that would see both companies benefitting. PFN gets its hands on the latest chip technology that allows it to have an advantage over its competitors, while Samsung gets to talk up its foundry business pumping out 2nm chips against TSMC (Taiwan Semiconductor Manufacturing Company).

• Read more: Samsung wants to beat TSMC in 3nm manufacturing, 2nm coming in 2025
• Read more: TSMC shows off 2nm chips to Apple, expected in 2025 for the iPhone 17 Pro
• Read more: Intel Nova Lake CPU: biggest architecture improvement ever, on TSMC 2nm

PFN is considered an AI company, and it has some major Japanese manufacturing companies as investors, including Toyota and Hitachi. The company has received recognition from the industry for not just producing its own software, but its own supercomputer and supplying it to customers. They kicked off development on their first-generation AI chip to be installed into a supercomputer back in 2016.

There are a lot of companies making their own AI chips now, including AMD, Intel, NVIDIA, Amazon, Meta, Microsoft, and more... leading to the deal between Samsung and PFN being significant for Samsung. Samsung could pick up additional clients wanting to fab their chips on Samsung's new (and hopefully proven) 2nm process node technology versus waiting in line (and paying a lot, I'm sure) for TSMC.