by Richard Sanders, Staff Writer
Taiwan Semiconductor Manufacturing Co (TSMC), the largest contract chipmaker globally, held an equipment installation ceremony for its first 2-nanometer fabrication plant in Kaohsiung yesterday, finishing six months ahead of schedule, according to Kaohsiung Mayor Chen Chi-mai.
“To meet the strong global demand for advanced chips, TSMC is beginning to install equipment for its inaugural 2-nanometer facility six months earlier than planned,” Chen stated during a session at the Kaohsiung City Council.
The 2-nanometer process technology from TSMC is expected to enhance the development of artificial intelligence (AI) applications and transform local industries in Kaohsiung, as noted in a statement from the city government.
In attendance at the TSMC ceremony, Chen announced that the company plans to construct four additional fabs in Kaohsiung. He also highlighted that numerous suppliers of semiconductor materials, equipment, and parts have established operations in the city.
With TSMC’s 3-nanometer and 5-nanometer fabs, the southern region of Taiwan is poised to become one of the most valuable semiconductor hubs in the world, according to Chen.
TSMC, headquartered in Hsinchu, confirmed that its 2-nanometer technology development is progressing well, with device performance and yields either on target or ahead of schedule. The company indicated in an email to the Taipei Times that it is on track for volume production next year and is also developing a 2-nanometer production line in Hsinchu.
During a meeting with investors last month, TSMC Chairman and CEO C.C. Wei noted that the demand for the new technology has exceeded expectations. “We are experiencing higher demand for 2-nanometer capacity than for 3-nanometer,” he said, adding that there is also significant demand for A16 chips for AI server production, prompting intense preparations for both 2-nanometer and A16 capacities.
The upcoming 2-nanometer chips are expected to be primarily utilized in smartphones and high-performance computing applications. Companies like Apple Inc and Micro Devices Inc are likely to be among the first to adopt TSMC’s 2-nanometer chips.
