Apple plans to purchase TSMC’s U.S. factory chips
TSMC is building a new fab in Arizona, USA, which is expected to be operational in 2024. The initial production capacity target is about 20,000 wafers per month (WSPM), and the process node is 5nm, which includes N5, N5P, N4, N4P, and N4X processes.
Apple is currently TSMC’s largest customer. It needs to purchase a large number of chips from the latter every year, and many of them use the latest semiconductor manufacturing technology, which will soon advance to the 3nm process node. According to Bloomberg, Apple CEO Tim Cook informed employees at an internal meeting in Germany that he had decided to use chips produced by TSMC’s US factory, hoping to reduce costs and potential supply chain procurement risks. However, with the production capacity and process level of the Arizona fab, at least for a period of time in the future, Apple’s main source of chips will still rely on the TSMC factory in Taiwan, China.
TSMC’s new fab in Arizona, USA will have to wait nearly two years before it goes into production. It is difficult to judge which chips Apple will choose to produce at the 5nm process node, and how much output is required. Apple may also choose some less important chip orders, such as chips used in earphones or watches, but only if there is a suitable SiP packaging service. In addition, the new Apple TV 4K is already equipped with A15 Bionic, and I believe they will continue to purchase it after two years.
Although there are many speculations in the market, neither Apple nor TSMC has responded to the relevant reports for the time being. After all, the production plan is one of the core business secrets.
