Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday unveiled the layout of its new fab in Arizona and reiterated its determination to ramp up advanced 5-nanometer chip production in 2024.
The company said that construction of Fab 21, in which it would invest US$10 billion to US$12 billion, has begun on a 445 hectare plot in Phoenix.
“As we expect demand for 5-nanometer [chips] will be strong and sustainable in the long term, we have made the Arizona fab, Fab 21, one of the 5-nanometer manufacturing sites,” TSMC chief executive officer C.C. Wei (魏哲家) told the company’s annual technology symposium.
Photo: Grace Hung, Taipei Times
The chipmaker has shipped more than 500,000 5-nanometer chips from its Fab 18 in Tainan since the technology became available last year, thanks to robust customer demand for smartphones, 5G applications, artificial-intelligence (AI) applications, networking devices and high-performance computing devices, Wei said.
The first phase of the Arizona fab would have an installed capacity of 20,000 wafers a month, TSMC said.
In January, the chipmaker said that further expansion would depend on market conditions and US government support.
TSMC yesterday introduced the technology for its new N5A process to produce 5-nanometer chips for automotive applications such as AI-enabled driver assistance and the digitization of vehicle cockpits.
Production using the N5A process is scheduled to be available in the third quarter of next year, Wei said.
The chipmaker said that its 3-nanometer technology would be the world’s most advanced technology when volume production begins in the second half of next year.
Its fabs in Tainan would be its major manufacturing sites for 3-nanometer chips, TSMC said.
To expedite mass production of 3-nanometer and 2-nanometer chips, TSMC is transforming its 2-nanometer research centers in Hsinchu into sites for initial production of new-generation chips, it said.
TSMC has been boosted capacity to catch up with customers' rising demand,expecting that its advanced technology capacity would expand at a compound annual rate of 30 percent from 2018 to this year.
Among advanced technologies,7-nanometer chip capacity would have increased fourfold until this year since 2018, TSMC senior vice president Y.P. Chin (秦永沛) told the symposium.
Five-nanometer chip capacity would quadruple until 2023 from last year’s level, he said.
The company is also expanding its advanced chip testing and packaging capacity to cope with growing demand, Chin said.
TSMC is building its fifth fab in Miaoli County’s Jhunan Township (竹南), which would offer the most advanced 3D packaging technology of system-on-integrated-chip in the second half of next year, he said.
soft landing: The US’ rate-setting FOMC finds itself in a difficult situation as it seeks to address inflation through interest rate hikes while avoiding a recession The US Federal Reserve is widely expected to hold interest rates steady on Wednesday after a summer of mixed economic data, while leaving the door open to another hike if needed. The Fed has raised interest rates 11 times over the past 18 months, lifting its key lending rate to a level not seen for 22 years as it tackles inflation still stubbornly above its long-term target of 2 percent. Analysts and traders broadly expect the US central bank to hold rates steady on Wednesday in order to give policymakers more time to assess the health of the world’s largest economy. “We think
AI TREND: TSMC has been rapidly expanding capacity to meet a spike in demand for advanced packaging services, but still expects supplies to be tight for 18 months Arizona is in talks with Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) about advanced chip packaging, state Governor Katie Hobbs said yesterday, which is crucial for the manufacturing of artificial intelligence (AI) chips. TSMC, which is building a US$40 billion chip factory in the US state, has not announced plans to build facilities for advanced chip packaging in the US. Advanced packaging processes stitch multiple chips together into a single device, lowering the added cost of more powerful computing. “Part of our efforts at building the semiconductor ecosystem is focusing on advanced packaging, so we have several things in the works around that
NXP Semiconductors NV expects its first automotive-grade 5-nanometer chip built by Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) to become available for automakers within one-and-a-half years at the earliest, following demand for better computing performance and energy efficiency for connected vehicles, a company executive said yesterday. That would mean a significant upgrade from the 16-nanometer technology NXP adopted in its existing series of microprocessors. NXP chief technology executive Lars Reger made the remarks during a media briefing yesterday in Taipei. The latest updates came after NXP unveiled its plan to source 5-nanometer capacity from TSMC in 2021. This is Reger’s first trip to
Tailwinds: Blockbuster earnings at Nvidia Corp have sparked hopes of a tech sector boom; Taiwanese chipmakers are hopeful benefits will come to them too The worst could be over for the New Taiwan dollar as China’s economic recovery and a rebound in the chip industry will support the beleaguered currency, analysts said. The NT dollar is on course to weaken for a sixth month, the longest stretch since 2006, after foreign funds turned sour on its technology sector and risk sentiment deteriorated on slower growth in China. The tide seems to be turning now on nascent signs of stabilization in China’s economy — its biggest trading partner — following policy boosts. The yuan emerged as the best-performing Asian currency last week, followed by the Japanese yen