The Wall Street Journal claimed that Taiwan Semiconductor Manufacturing Co Ltd. is preparing a fresh, multibillion-dollar investment in a manufacturing in the US. The story said that the largest chipmaker in the world, the Taiwanese chip giant, will invest $12 billion to construct a state-of-the-art semiconductor facility in northern Phoenix, Arizona to produce 3nanometer devices.
After implementing the CHIPS Act, the United States has actively supported local research, development, and production while also enticing international technology companies to manufacture there.
According to WSJ's sources, the original plant is now preparing to also build more sophisticated 4nm devices with a bigger capacity at the facility, despite initial expectations that it would only mass-produce 5nm chips. In 2024, the factory is anticipated to begin mass production.
The second factory, meanwhile, is anticipated to produce cutting-edge third-generation (3nm) processors, a process to which Apple is reportedly switching starting with the M2 Pro or M3 chip. It is anticipated that TSMC's improved 3nm process will be used to produce both Apple's M3 processor for Macs and A17 chip for the iPhone 15 Pro models. The M2 Pro is anticipated to be utilised in the 14-inch and 16-inch MacBook Pro models as well as a high-end Mac mini, according to Bloomberg's Mark Gurman.
It also said that the new investment should be comparable to the first project's.
Requests for reaction from corporate representatives went unanswered.
Both Intel Corp. and memory manufacturer Inc. are attempting to strike a balance between short-term savings and investments to meet long-term demand. In addition to offering tax discounts on equipment used in semiconductor manufacture, the U.S. budgeted approximately $39 billion this year for grants for chip manufacturing that are slated to be given out starting next year. Incentives are being implemented by European nations in an effort to double their portion of world output to 20% by 2030. The construction and completion of large chip facilities normally takes several years, so businesses attempting to satisfy future demand must make their costly investment decisions far sooner.
According to TSMC, a ceremony will be held in Arizona in December to officially inaugurate the factory's first batch of production machinery. The plant was first revealed two years ago. At the time, the business announced that it will manufacture 5-nanometer chips there. According to those with knowledge of the situation, preparations are currently being made to make bigger quantities of more sophisticated 4-nanometer chips at the plant. In 2024, the factory is anticipated to begin mass production.
Washington has lauded TSMC's Arizona expansion as a success in efforts to recruit cutting-edge chipmaking to the US and is dangling incentives of roughly US$50 billion for local enterprises.