TSMC plans to increase 3nm monthly production capacity to 100,000 wafers
Last month, Taiwan Semiconductor Manufacturing Company (TSMC) unveiled its financial results for the fourth quarter of 2023, revealing a significant surge in the production volume of its 3nm process node. The revenue share of this advanced technology has increased from 6% in the previous quarter to 15%, a rise undoubtedly attributable to Apple, which produces various chips including the A17 Pro and the M3 series.
According to Wccftech, TSMC plans to boost its 3nm process monthly output to 100,000 wafers by 2024, while also focusing on further improving the yield rate. In addition to Apple, TSMC has received substantial orders from Qualcomm, MediaTek, NVIDIA, and Intel. It remains unclear which client has placed the largest order, though Apple is likely the frontrunner.
Last year, reports emerged that TSMC’s inaugural N3B process experienced suboptimal yield rates, hovering between 50% and 55%. With Apple as its sole customer for the M3 series chips, the production cost reached a staggering one billion dollars. This year, TSMC is transitioning to the second-generation N3E process, not only increasing monthly production capacity from 60,000 to 100,000 wafers but also aiming to boost the yield rate to 80%, a feat of considerable complexity.
Moreover, TSMC recently announced its ongoing collaboration with Sony, DENSO Corporation, and Toyota to construct a second semiconductor fabrication plant in Kumamoto Prefecture on the island of Kyushu, Japan, with groundbreaking scheduled for the end of 2024 and operations commencing by the end of 2027. Together with the fab set to start production this year, the total monthly capacity will reach 100,000 wafers, employing semiconductor manufacturing processes including 40nm, 22/28nm, 12/16nm, and 6/7nm, targeting chips for automotive, industrial, consumer electronics, and high-performance computing sectors.
The total investment for the Kumamoto wafer fab project exceeds 20 billion dollars, with ownership distributed among TSMC, Sony, DENSO Corporation, and Toyota through the jointly held Japan Advanced Semiconductor Manufacturing company (JASM), holding respective stakes of 86.5%, 6.0%, 5.5%, and 2.0%.
