Leading semiconductor foundries are navigating tight profit margins as yield rates for 3-nanometer processes stabilize slower than anticipated. Consequently, mobile original equipment manufacturers are absorbing higher wafer costs, altering bill-of-materials allocation across display and camera components.
Tier Diversification Strategies
To preserve gross margins, premium smartphone manufacturers are restricting high-cost processing silicon strictly to top-tier flagship SKUs. Mid-range models are increasingly adopting previous-generation 4-nanometer chipsets or rearchitected legacy nodes.