Samsung Electronics has confirmed that it will equip its upcoming foldable phone, the Galaxy Z Flip 7, scheduled for release in the second half of this year, with its mobile application processor (AP) Exynos 2500 series. This is the first time a Samsung mobile AP will be installed in a foldable phone. The mobile AP is a key component that serves as the brain of the smartphone.
According to industry sources on the 30th, Samsung Electronics has completed preparations to install the mobile AP Exynos 2500, designed by its System LSI division, in the Galaxy Z Flip 7, which is set to be unveiled in July. Samsung Electronics is reportedly set to begin mass production of the Galaxy Z Flip 7 equipped with this chipset next month, and is expected to secure an initial production of more than 200,000 units by June of this year.
Until recently, concerns about low yields and performance issues with the 3-nanometer second-generation gate-all-around (GAA) process had resulted in expectations that Qualcomm Snapdragon would be installed instead of Exynos. On the 21st (local time), the Canadian IT media outlet WCCFTech reported that the Samsung Electronics Galaxy Z Flip 7 has passed internal tests with the Snapdragon 8 Elite AP. Industry estimates regarding the yield of the Exynos 2500 have hovered around 20-40%. Typically, Samsung Electronics is known to enter mass production only when yields exceed 60%.
An industry insider who requested anonymity noted, "The decision to install Exynos instead of Qualcomm was largely due to price reasons. I understand they assessed that the yield has stabilized somewhat," adding, "The fact that foldable phones do not have a high shipment volume compared to the Galaxy S series also worked in favor of installing Exynos." They further added, "However, Exynos 2500 will not be installed in the Galaxy Z Fold 7."
If Samsung Electronics installs its own AP in the new foldable phone, it is expected to gain an advantage in price negotiations with Qualcomm in the future. Qualcomm has reportedly raised AP prices by more than 20% each year. Until last year, Samsung used Exynos 2400 in the Galaxy S24 and Galaxy S24 Plus, but it equipped all models in the Galaxy S25 series launched in February of this year with Qualcomm AP.
Analysts say that the installation of Exynos 2500 in foldable phones will lay the groundwork for future mass production of 2-nanometer processes if experience with 3-nanometer production is accumulated. Kim Yong-seok, a distinguished professor at Gachon University and an expert in system semiconductor design, stated, "If we focus on mass production of GAA 3-nanometer APs, experience and results will accumulate, which can also help improve the yield of GAA 2-nanometer."