Samsung Chairman Lee Jae-yong visits Taiwan to lure MediaTek away from TSMC

Samsung Chairman Lee Jae-yong has reportedly slipped into Taiwan for a meeting with MediaTek, in an effort to steal the chip designer as a foundry client from TSMC.

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The move underscores Samsung's aggressive push to expand its foundry business and challenge TSMC's dominance in the sector. According to a report from WCCF Tech, Lee made the trip to Taiwan, on May 21 with a high-level entourage with the goal of meeting with MediaTek's CEO Cai Lixing.

According to reports, Lee was offering MediaTek incentives, including lucrative memory deals, or priority access to its memory. This is reportedly a common tactic by Samsung to attract new foundry partners, as it was the strategy Samsung used to attract Qualcomm as a foundry client. Furthermore, the conversation between Samsung and MediaTek comes at a time when the relationship between TSMC and MediaTek is fairly strained.

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The semiconductor industry is already locked in a fierce battle between Samsung and TSMC, with both vying for market share in a rapidly evolving foundry landscape. Samsung has been increasingly confident, particularly after the surge of memory demand caused by the expanding AI sector.

If successful, this maneuver could disrupt the status quo and shift the balance of power in the foundry market, which is absolutely what Samsung wants as TSMC has been the frontrunner in the space for many years. For now, the outcome remains uncertain, but the fact that Samsung is making such a bold move showcases the stakes in the ongoing chip war, which has seemingly no end in sight.