Taiwan Semiconductor Manufacturing Co. will be offering advanced chips when the new Arizona plant opens in 2024, as requested by its biggest US customers including Apple.
(Photo : SAM YEH/AFP via Getty Images)
Employees work at the headquarters of the world's largest semiconductor maker TSMC in Hsinchu on January 29, 2021.
TSCM Plans to Offer Advanced Chips
As Apple pushes the company to make and offer a much more advanced chip than before, Taiwan Semiconductor Manufacturing Co. has granted the request of its biggest customer in the United States.
According to a report from Bloomberg, an advanced 4-nanometer chip will be offered by the manufacturer when the $12 billion Arizona facility starts to operate in 2024. This was an upgrade from the original plan to offer 5-nanometer semiconductors, which is a standard that will be far from the edge by 2024.
Granting US Customers' Request
Major tech companies rely on TSMC for their chipmaking necessities, including Apple, Advanced Micro Devices Inc., and Nvidia Corp. The two mentioned companies have also requested TSMC to offer advanced chips at the Arizona plant, according to Reuters.
Chief Executive Officer Tim Cook stated before that his company plans to source chips from the Arizona plant and he is scheduled to attend the event next week. He stated, "We've already made a decision to be buying out of a plant in Arizona, and this plant in Arizona starts up in '24, so we've got about two years ahead of us on that one, maybe a little less."
Apple's request for TSMC to offer advanced chips in Arizona might be one of the company's strategies to reduce its reliance on manufacturers located in Taiwan. Cook disclosed this information during a meeting in Germany with retail and local engineering employees.
AMD Chief Executive Officer Lisa Su and Nvidia Head Jensen Huang are also expected to attend the event. But once asked by several publications to confirm the news, all of the parties mentioned (TSMC, Apple, AMD, and Nvidia) declined to comment regarding this matter.
Also Read: Apple Supplier TSMC's Arizona Plant Nears Completion, Expected to Mass Produce 5nm Chips
US Government-Supported
This news from TSMC is expected to be formally announced during the ceremony visit of United States President Joe Biden and Commerce Secretary Gina Raimondo to Phoenix next Tuesday, December 6th.
The company added that they will also be committing to adding a second nearby plant that will make much more advanced 3-nanometer chips, as confirmed by the TSMC founder.
According to Taiwan Semiconductor Manufacturing Company Founder Morris Chang, the decision of the company to open a second plant was supported and welcomed by United States Vice President Kamala Harris, as she was very determined to help Taiwan in any way. Because of this, Chang also invited the Vice President to attend the ceremony for the $12 billion facility.
United States House Speaker Nancy Pelosi also visited Taiwan and met the executives, including Chang and Mark Liu.
Related Article: TSMC Halts Production for Biren Technology to Comply with US Regulations
