Apple’s chipmaker could build up to 6 factories in Arizona

TSMC 7nm processor
Plans have gotten more ambitious it seems.
Photo: TSMC

Apple M- and A-series chipmaker TSMC is reportedly planning to build more than just the one chipmaking factory currently announced for the United States.

According to Reuters, the company — which is the world’s leading edge semiconductor manufacturer — plans to build “several more” in the state of Arizona. TSMC’s original intentions to build a $12 billion chip factory in AZ were announced in May 2020.

The report claims that:

“Three sources familiar with the matter, speaking on condition of anonymity as they were not authorised to speak to the media, told Reuters that up to five additional fabs for Arizona are being planned.

The initial fab is relatively modest by industry standards, with a planned output of 20,000 wafers – each of which contains thousands of chips – every month using the company’s most sophisticated 5 nanometre semiconductor manufacturing technology.

It is not clear how much additional production capacity and investment the additional fabs might represent, and which chip manufacturing technology they would use.”

A request from the U.S. government

From the sound of things, the expansion was in response to a request from the United States government. However, they did not provide further details. The Biden administration is reportedly gearing up to spend “tens of billions of dollars” on domestic chip manufacturing. TSMC has already made sure to secure enough space for expansion of its plans. TSMC will reportedly complete the six fabrication plants over the next three years.

It all sounds extremely promising. The one potential cause for trepidation? The cautionary tale of Foxconn’s promised $10 billion LCD plant in Wisconsin. As reported earlier this month, Foxconn has now renegotiated the deal and greatly scaled back plans.

What are your thoughts on the prospect of up to six TSMC chip factories in the United States? Is this a positive move? Let us know your thoughts in the comments below.

Source: Reuters