Qualcomm has selected Samsung to manufacture the Snapdragon 820 processor.
Samsung is kicking off mass production of its second-generation 14nm LPP (Low-Power Plus) process, which is what it will use to make the Snapdragon 820.
Samsung says its 3D FinFET structure on transistors provides gains in raw performance and power efficiency.
For example, the 14nm LPP process delivers 15% faster speeds and 15% less power consumption when compared to its first-generation 14nm process. Qualcomm has traditionally used Taiwan Semiconductor to fabricate its silicon.
Qualcomm said Samsung will be the only company to make its top-of-the-line mobile processor. The deal could earn Samsung as much as $1 billion. Qualcomm and Samsung both expect to see the 820 ship in consumer devices during the first half of the year.
Samsung has seen profits drop over the last year and is looking to diversify its product mix. Samsung increased its investment in manufacturing facilities during 2015 in order to win exactly this type of business.
