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The ongoing battle between TSMC and Samsung continues to intensify. Recently, TSMC has secured key contracts with Apple, including the A12 processor for iPhones and the next-generation Snapdragon 855 chips for Qualcomm. This has put pressure on Samsung, which is now reportedly working on a secret initiative known as the "Kinchnan Plan" to develop advanced semiconductor packaging technologies in an effort to regain Apple's mobile chip orders in 2019.
Back in 2015, the A9 processors found in the iPhone 6s were manufactured by both TSMC and Samsung. However, following the "chipgate" scandal, Apple shifted all production of the A10 Fusion (iPhone 7), A10X (iPad Pro 2016), and A11 Bionic (iPhone 8 and X) to TSMC exclusively. Industry experts suggest that TSMC's edge in packaging technology played a crucial role in this decision.
TSMC was the first in the world to commercialize fan-out wafer-level packaging (InFO-WLP) with integrated application processors. While TSMC and Samsung are closely matched in front-end wafer manufacturing, TSMC’s InFO technology significantly reduced the thickness of Apple’s processors, leading to a strategic shift in orders. Samsung, which had previously focused more on front-end processes, has now recognized the growing importance of back-end packaging.
According to a report from South Korean media outlet ETNews, after Kim Jinnan became co-CEO of Samsung, the company secretly launched the "Kinchnan Plan." The initiative, led by Oh Kyung-seok, a former Intel executive, involves significant investment in developing a new "Fan-Wafer Level Packaging" (Fo-WLP) process. Samsung aims to catch up with TSMC and secure Apple's next-gen chip orders before mass-producing the new technology in 2019. This move highlights the evolving landscape of semiconductor manufacturing and the critical role of packaging innovation in securing high-value contracts.