News regarding the precarious condition at Samsung Foundry, the company's semiconductor production branch, keeps coming in. After the Exynos 2400 chip performed well, things appeared to be getting better. Recent events, however, have shown that there are significant obstacles to surmount before things can return to normal. Employee interviews reveal that Samsung is presently dealing with a "crisis."
Samsung Foundry's problems with poor yield rates
The low yield rate of Samsung Foundry's 3nm GAA wafers is the primary cause of its issues. With the new technique, the business planned to make the Eynos 2500 chip a powerful, efficient, and appealing SoC. But its factories haven't been able to keep up. According to recent reports, only 25 to 30 of every 100 chips created are useful. Conversely, wafers have only demonstrated a 10% yield rate at their worst.
Before choosing which chip to utilize in the Galaxy S25 series, Samsung is apparently attempting to increase the yield rate of their 3nm GAA wafers. It is very likely that Samsung will have to switch out its Exynos 2500 chip with the more costly (but more potent) Snapdragon 8 Elite given the gravity of the problem. The South Korean powerhouse is holding onto hope, though, and is continuing to test the Exynos 2500 in case they are able to make a last-minute turnaround.
Employees and former employees of Samsung perceive a crisis within the organization.
Former Samsung employee and YouTuber Damnangyi posted a video that received views from Samsung-related users. Both the present circumstances and the possible causes are the subject of the opinions. First, Samsung is in trouble, according to 24 present employees and seven former employees. The majority of them think that Samsung is not innovating at a fast enough rate right now. In this case, the board of directors' lack of vision would be the direct cause. Concerns have even been raised by some regarding how the management treats its staff.
Damnangyi is currently employed in the United States at Qualcomm. He had enough experience at Samsung, though, to understand what was happening on the inside. Additionally, representatives apologized to investors this month for the lack of innovation and unsatisfactory financial outcomes, so the situation is not a secret.
The business will use greater innovation to try to improve the issue.
Samsung Electronics hinted at their plan to try to improve the situation in its formal apologies. The business stated that it will place a larger wager on long-term solution development and innovation. It remains to be seen if Samsung can turn things around or if the internal crisis gets worse. Samsung Mobile recently introduced the Galaxy Z Fold Special Edition in an effort to rival Chinese companies' incredibly tiny foldables. (*)
Title: Employees claim that Samsung Electronics is in Crisis
