TSMC receives government authorization to produce 2nm chips in the US

A TSMC (Taiwan Semiconductor Manufacturing Company), the world’s largest semiconductor supplier based in Taiwan, has apparently received government permission to produce 2nm chips in the USA.

As a way of guaranteeing technological sovereignty and maintaining a vibrant economy in Taiwan, the country’s government – like many others around the globe – does not allow its companies to develop and produce new technologies outside its territory. However, things appear to have changed recently following a statement from Taiwan’s economic affairs minister, JW Kuo, indicating more flexibility for the country’s companies.

TSMC’s 2nm chips made in the USA?

Taiwan will be the center of production for TSMC’s 2nm wafers (semiconductor boards used to produce processors), with the Baoshan and Kaohsiung facilities serving as the main manufacturing hubs for cutting-edge technology. This is the company’s main plan to start production of this new technology.

Future shipments will serve companies such as Apple, Qualcomm e MediaTekresulting in a very high volume of production for TSMC. It was previously reported that the company started trial production at its Baoshan factory with a target of 5,000 wafers, and the Kaohsiung factory also had the same monthly production target. Even with a total of six factories located in Baoshan and Kaohsiung, TSMC may begin production at a third facility if demand for 2nm becomes overwhelming – which could happen soon.

Demand projections for 2nm technologies are already greater than those for 3nm and, although TSMC has other plants (factories) in Taiwan, its operation could expand to the USA, if Kuo’s statements come to fruition.

Kuo reported to UDN last week about the high costs of setting up advanced chip manufacturing plants abroad. According to him, if TSMC decides to produce 2-nanometer chips in America, then it may have to invest up to $30 billion to acquire the necessary equipment and establish other facilities.

The minister believes that high costs would make TSMC cautious about considering an expansion of production abroad, but that times have changed and it is up to TSMC to decide whether to establish advanced production facilities abroad. In other words, the production of new technologies is no longer a decision of the government, but of TSMC.

With the Baoshan and Kaohsiung plants fully operational, it was previously estimated that TSMC could increase its monthly wafer production to 40,000 units. In total, the company has six factories in both locations, and if demand exceeds supply, TSMC could allocate some space in other plants. By 2026, it is estimated that monthly wafer production could reach 80,000 units.

Simplifying the whole story: TSMC’s production volume in the coming years will increase exponentially, which suggests the expansion of its activities, that is, its expansion to other plants, enabling more labor, and resulting in faster deliveries to customers. your customers. Therefore, this should include the Arizona plant, in the USA, with the production of 2nm chips on American soil.

VIA: UDN