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Texas Instruments seeks to gain market share as TSMC and Samsung exit 8-inch wafer production
Monday, March 9, 2026 at 12:10 PM
Texas Instruments intends to leverage its significant excess 8-inch manufacturing capacity to capture market share as competitors TSMC and Samsung exit the 8-inch wafer market or convert those facilities for advanced packaging use.
Context
Global foundry leaders TSMC and Samsung Electronics are reportedly scaling back 8-inch (200mm) wafer production to prioritize more lucrative 12-inch (300mm) lines and advanced packaging facilities. Samsung is expected to close its S7 fab in the second half of 2026, reducing its monthly 8-inch capacity from 250,000 to under 200,000 wafers. This industry-wide contraction, forecast by TrendForce to drop 2.4% this year, creates a supply vacuum for mature-node chips like power management ICs (PMICs) and display drivers.
Texas Instruments (TI) is positioned to capture this displaced market share, leveraging multi-billion dollars in existing unused capacity. Unlike rivals pivoting away from legacy formats, TI has maintained a long-term strategy of internal manufacturing across its six new 300mm fabs. While the semiconductor recovery has been slow, TI aims to use its $4.6 billion in annual capital expenditures to provide a stable alternative for customers abandoned by the foundry shift toward AI-centric, leading-edge nodes.
Sources (10)
INTEL, SAMSUNG ELECTRONICS, TSMC REACH AGREEMENT FOR 450mm WAFER MANUFACTURING TRANSITION[PDF] Q4 2025 Texas Instruments Inc Earnings Call on January 27, 2026 ...Q&A: How TI is investing in manufacturing capacity to support growth for decades to come | TI.comTSMC's retired tools spark fierce demand in China, ASEANTSMC to close original wafer fab - EE TimesLegacy Process Nodes Going Strong - Semiconductor EngineeringSamsung to close down one of its 8-inch foundry fabs within the year - THE ELEC, Korea Electronics Industry MediaLegacy Chips Market Report: Trends and Growth
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