Samsung Chip Foundry Price Hike: Is Nintendo Switch 2 Affected Too?

Summary

According to Reuters, citing sources, Samsung has raised prices for some advanced chip foundry services by up to 15%, with the adjustment taking effect in July. The price hike mainly targets the 4nm SF4 process node, with US and Chinese customers facing increases of 10% to 15%, while Taiwanese customers see a relatively milder 5% to 10%. The 5nm SF5 line also rose 10% to 15%, and the mature 8nm node increased by nearly 10%. Chinese customers are reportedly the most accepting of the hikes, as US export controls narrow their access to advanced process capacity domestically, forcing them to rely more on overseas foundries like Samsung with limited bargaining power. The primary driver is the explosive demand for AI chips, keeping industry capacity tight. For the gaming industry, Samsung is a key foundry for chips used in devices like the Nintendo Switch 2, and this price increase could indirectly raise manufacturing costs for next-generation gaming hardware. While there is no clear evidence yet that Switch 2 pricing will be affected, the cost transmission along the supply chain deserves attention. For global players and hardware makers, rising foundry prices may signal further increases in console and GPU costs, and could impact smaller developers' investment in hardware optimization. This event highlights the deep influence of the AI boom on gaming supply chains, potentially…