Report: TSMC is considering building a second 2nm fabrication facility in Taiwan


September 24 – The Taiwanese Semiconductor Manufacturing Company (TSMC) is contemplating opening a second 2nm fabrication facility, reports DigiTimes. Last month, the contract chipmaker reportedly began establishing its first 2nm production complex in its home region.

In addition, the firm plans to expand its backend manufacturing capability by building two state-of-the-art packaging centers.

Details on TSMC’s New Next-Generation Expansion Plans

Mark Liu, TSMC’s chairman, told DigiTimes his company is considering expanding its next-generation fabrication capability to meet future demand. Specifically, the firm is mulling over launching a 2nm fab in central Taiwan.

The executive’s statements indicate the foundry has incredible confidence in its research and development capabilities. At present, the firm is mass-producing 5nm integrated circuits (ICs). The manufacturer is also finalizing its 3nm node process, which it will utilize at volume in 2023.

However, Liu’s statement indicates sub-5nm work is promising enough to justify the costs associated with building two leading-edge foundries. That said, he has not committed to building a second advanced foundry because he is unsure about the technology’s appeal.

While the electronic component industry hungers for iterative wafer improvements, the concept of 2nm wafers still seems jarringly futuristic. Given that the company is at least one generation ahead of the rest of the sector, it can afford to pump the brakes a little.

Why TSMC is Increasing its Chipset Packing Capability

According to DigiTimes, TSMC also plans to establish two new 3D Fabric stacking and packaging facilities between 2021 and 2022. As opposed to a second 2nm plant, this production capacity expansion seems much more reasonable.

The firm developed its 3D Fabric platform to give its clients the ability to fine-tune their semiconductor designs. Instead of crafting layouts for large die, the technology lets customers make refinements at the mini chip level. That backend access can be hugely useful for cloud computing, artificial intelligence, self-driving vehicles, and smartphone chipmakers.

As the corporation is handling chip production for Tesla’s Autopilot processors and Apple’s Silicon lineup, it is wise to offer added workload support.

Once its new packaging facilities are online, TSMC will be one of the industry’s most comprehensive contract manufacturers in addition to its most advanced. The company’s efforts to pursue a holistic expansion strategy will likely ensure it will not face future demand issues.


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