TSMC plans advanced 3nm chip production in Arizona

According to the company’s founder, Taiwan Semiconductor Manufacturing Company (TSMC) plans to deliver its most cutting-edge technology to Arizona.

With President Joe Biden placing a broad set of limits on the sale of cutting-edge semiconductors and chip-making equipment to Chinese enterprises, tensions between Washington and Beijing over chips are building at the same time that TSMC’s proposals are being announced.

Reuters reported last year that TSMC plans to develop more chipmaking factories in Arizona, including conversations about whether its next unit should be more sophisticated and create 3-nanometer chips instead of the slower, less-efficient 5-nanometer chips. According to estimates, TSMC produces 90% of the most cutting-edge computer chips in the world, serving companies like Apple and Qualcomm.

Although already retired, Chang continues to be a major player in his field. After returning to Taipei from Bangkok, where he had represented Taiwan at the conference of the Asia-Pacific Economic Cooperation (APEC) leaders, he gave a briefing to the press. During APEC, Chang met with Chinese President Xi Jinping and talked shop with Vice President Kamala Harris about the semiconductor business. Harris reportedly went on to say that he was happy with TSMC’s choice to open a plant in Arizona.

TSMC’s super-advanced chips are used in smartphones and washing machines. Due to high development costs and knowledge requirements, much of the production is concentrated on a few providers. Chip manufacturers must etch ever-smaller transistors on silicon wafers. Chang said TSMC’s Arizona plant will build 3-nanometer chips.

In 2020, the business has pledged $12 billion to build in Arizona. The tech giant said the plant would use 5-nanometer technology for semiconductor wafer production and create 1,600 high-tech jobs, with production expected to begin in 2024.

Chang said he would be there, as would TSMC customers and suppliers, as well as US Commerce Secretary Gina Raimondo. Chang also stated that US Vice President Joe Biden had been invited, but he did not know if he would go. Chang claimed that people had only recently realized how crucial chips were.

According to the report by Reuters, Dr. Morris Chang, Founding Chairman, TSMC, said:

Three-nanometer, TSMC right now has a plan, but it has not been completely finalized, It has almost been finalized – in the same Arizona site, phase two. Five-nanometer is phase one, 3-nanometre is phase two.

“There are a lot of jealous people, jealous of Taiwan’s excellent chip manufacturing,” he said. “So there are also a lot of people who for various reasons, whether it is for national security or making money, hope to manufacture more chips in their countries.