In addition to the first fab, which is slated to commence production of N4 process technology in 2024, TSMC announced the start of the building of the second fab in Arizona, US. The second fab is set to start producing 3nm process technology in 2026.
The total investment for these two fabs will be around $40 billion. It makes it the largest foreign direct investment in Arizona’s history. Also, one of the largest foreign direct investments in US history. TSMC Arizona’s two fabs are estimated to provide an additional 10,000 high-paying high-tech employees. It includes 4,500 direct TSMC jobs, in addition to the approximately 10,000 workers that assisted with site development.
TSMC Arizona’s two fabs, when completed, will produce over 600,000 wafers per year. It has a projected end-product value of more than $40 billion. In keeping with TSMC’s commitment to green production, it was also disclosed that TSMC Arizona is planning an on-site Industrial Water Reclamation Plant, which, when completed, will allow the TSMC Arizona site to achieve near-zero liquid discharge.
TSMC Chairman Dr. Mark Liu stated, When completed, TSMC Arizona aims to be the greenest semiconductor manufacturing facility in the United States, producing the most advanced semiconductor process technology in the country, enabling the next-generation high-performance and the low-power computing products for years to come.
The announcements were made at TSMC’s inaugural event to commemorate the arrival of the first batch of cutting-edge semiconductor production equipment to TSMC Arizona. The event, held in Phoenix, Arizona, brought together TSMC executives, customers, suppliers, partners, government officials, and academic experts to honor a significant milestone in TSMC’s journey to bring cutting-edge semiconductor production to the United States.
The ceremony was presided over by TSMC Founder Dr. Morris Chang, TSMC Chairman Dr. Mark Liu, and TSMC CEO Dr. CC Wei. President Joseph R. Biden, Jr., Department of Commerce Secretary Gina Raimondo, Arizona State Governor Doug Ducey, Phoenix City Mayor Kate Gallego, Apple CEO Tim Cook, AMD Chair and CEO Dr. Lisa Su, and NVIDIA President and CEO Jensen Huang were among those in attendance.
TSMC unveiled six semiconductor tools designed to facilitate the production of cutting-edge semiconductor process technologies during the ceremony. Tools from long-time providers Applied Materials, ASM, ASML, Lam Research, KLA, and Tokyo Electron are among them. This initiative is certainly a testament to the Grand Alliance TSMC has created with customers, suppliers, and partners. It is to strengthen our collaboration and unleash innovation, according to TSMC CEO Dr. CC Wei.
Apple as Customer
We published a few days ago reports that Apple will get its chipsets from within the United States. Tim Cook announced this morning in Arizona that the company intends to purchase chips manufactured by TSMC. Taiwan Semiconductor Manufacturing Company has recently established a multibillion-dollar semiconductor plant in Arizona. Its production is slated to begin in 2024.
Furthermore, Apple is already one of the chipmaker’s most important customers. This decision to source from within the United States also favors Apple in light of the ongoing tensions between Taiwan and China. The latter has been coveting the former, despite the fact that the US has committed to safeguarding the country. However, military conflicts will make it more difficult for the corporation to get chips from the region. As a result, sourcing it from its home market will aid in the security of its chip supply chain.
These chips may now be proudly stamped Made in America, owing to the hard effort of so many individuals. This is a critical juncture in history. TSMC is investing over $12 billion in its Arizona plant. It is also slated to begin manufacturing advanced 5nm process-based chips by 2024. However, it is also said to be planning to start 3nm production to match Apple’s demand.
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