MediaTek Takes Its 2-Nanometer Challenge to Apple and Qualcomm

HSINCHU, Taiwan — MediaTek has introduced the Dimensity 9600M, a high-performance 3-nanometer processor aimed at a broader tier of premium devices. Like the flagship Dimensity 9600 Pro, it is manufactured by Taiwan Semiconductor Manufacturing Company (TSMC), the world’s dominant contract chip manufacturer.

The Dimensity 9600 Pro is MediaTek’s first smartphone processor manufactured on a 2-nanometer process. Its debut positions the semiconductor designer at the forefront of the industry-wide move toward ultra-advanced silicon nodes for complex artificial intelligence on consumer devices.

Both processors are designed for “edge AI,” which runs generative artificial intelligence models directly on smartphones instead of relying on remote data centers. Local processing can improve response times, lower latency, and enhance user privacy by keeping personal data on the phone. It also requires more capable local silicon, including specialized neural processing hardware.

The Dimensity 9600 Pro includes a dedicated, next-generation neural processing unit (NPU). MediaTek reported that the chip processes prompts 51% faster than its previous-generation silicon, enabling it to handle queries more quickly before an AI model begins generating a response.

The move to TSMC’s 2-nanometer node comes as mobile hardware shifts from traditional FinFET (fin field-effect transistor) architectures to advanced Gate-All-Around (GAA) nanosheet transistors. The new structure allows designers to fit more transistors into a smaller area, increasing processing power while reducing energy consumption. Apple has historically secured exclusive early access to TSMC’s newest manufacturing nodes, but MediaTek’s rapid adoption of the 2-nanometer process reflects its effort to challenge the premium chip duopoly held by Apple and Qualcomm.

MediaTek has long supplied major Chinese smartphone brands, including Xiaomi, Oppo, and Vivo. The Dimensity 9600 Pro and 9600M give these original equipment manufacturers (OEMs) specialized silicon for competitive, AI-heavy flagship phones. Consumer devices using both processors are expected to launch in the near future, although MediaTek did not disclose specific manufacturer partnerships or release dates.

The launch arrives as smartphone makers face rising costs for high-density storage, larger memory capacities, and increasingly complex silicon needed to support advanced generative AI features. Premium device prices are climbing, a trend underscored by the recent debut of Apple’s highly anticipated foldable iPhone, whose highest-storage configuration reaches $3,199 in the U.S. market.

JC Hsu, corporate senior vice president at MediaTek, said that intense global demand for artificial intelligence capabilities has strained supplies of advanced semiconductor components and state-of-the-art manufacturing capacity. “As the overall market moves to higher prices, I believe there is still room for us to increase our share of the flagship segment,” Hsu told Reuters. He added that MediaTek is working closely with smartphone manufacturers to help manage and contain the effect of escalating component costs on consumers.

MediaTek is also expanding beyond consumer handsets as global technology companies and hyperscale cloud providers invest heavily in artificial intelligence infrastructure. The Taiwanese chip designer is moving into custom silicon (ASIC) and enterprise data centers, with its first custom AI accelerator for a major, unnamed U.S. cloud service provider scheduled to enter mass production during the fourth quarter of this year. The initiative places MediaTek in more direct competition with enterprise silicon companies such as Broadcom and Marvell while diversifying revenue beyond the cyclical consumer electronics market.