Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday said it is to open a new cutting-edge research-and-development (R&D) center in Hsinchu next year to develop 2-nanometer (nm) technology to secure its technology leadership.
The world’s biggest contract chipmaker said it is also seeking to acquire land adjacent to the new R&D center to build a production fab for 2-nanometer chips.
This is the first time that TSMC has disclosed details about its plans to move into 2-nanometer technology.
Photo: David Chang, EPA-EFE
The company has invested heavily in R&D and advanced capacity, offering 7-nanometer chips in 2018 and 5-nanometer chips this year, with plans to commence volume production of 3-nanometer chips in the second half of 2022, to maintain its edge over competitors such as Samsung Electronics Co.
The 2-nanometer chips are one generation more advanced than 3-nanometer ones.
The new R&D center, dubbed TSMC’s “Bell Lab,” is to house 8,000 scientists and engineers to develop next-generation chip technologies, TSMC senior vice president Kevin Zhang (張曉強) yesterday told an online technology symposium.
It is to be composed of two R&D sections — R1 and R2 — and one office building, the company said.
R1 is under construction and is to become operational next year, Zhang said.
It will serve as the base for TSMC to explore 2-nanometer technology and future generation technologies, TSMC senior vice president Y.P. Chin (秦永沛) said.
TSMC has spent more than US$10 billion a year on expanding advanced technology capacity over the past few years to meet customers’ demand, Chin said.
The investment allowed TSMC to increase its advanced technology capacity at a compound annual growth rate of 28 percent from 2016 to this year, he said.
To cope with robust demand, the chipmaker has continued to expand its 7-nanometer technology capacity, which is expected to be 3.5 times bigger than when it introduced the technology in 2018, Chin said.
The 5-nanometer technology capacity is forecast to grow 1.8 times in 2022, compared with this year’s capacity, he added.
To date, TSMC has shipped more than 1 billion 7-nanometer chips, the company said.
“If you have a 5G phone, most likely the phone is powered by TSMC’s 7-nanometer chips,” Zhang said.
As semiconductor technology is evolving rapidly and becoming increasingly complex, TSMC has been boosting R&D spending to ensure it is able to offer the most advanced technologies to its clients now and for the years to come, Zhang said.
The chipmaker spent US$2.96 billion on R&D last year, up 3.86 percent from 2018, Chang’s presentation showed.
Its R&D headcount also rose to 5,901 last year from 5,609 in 2018, it showed.
Tainan is a major manufacturing hub for the company’s advanced technologies.
ACTION PLAN: Taiwan would expand procurement from the US and encourage more companies to invest in the US to deepen bilateral cooperation, Lai said The government would not impose reciprocal tariffs in retaliation against US levies, President William Lai (賴清德) said yesterday, as he announced five strategies to address the issue, including pledging to increase Taiwanese companies’ investments in the US. Lai has in the past few days met with administrative and national security officials, as well as representatives from various industries, to explore countermeasures after US President Donald Trump on Wednesday last week announced a 32 percent duty on Taiwanese imports. In a video released yesterday evening, Lai said that Taiwan would not retaliate against the US with higher tariffs and Taiwanese companies’ commitments to
‘SPECIAL CHANNEL’: Taipei’s most important tasks are to stabilize industries affected by Trump’s trade tariffs and keep negotiations with Washington open, a source said National Security Council Secretary-General Joseph Wu (吳釗燮) arrived in the US for talks with US President Donald Trump’s administration, a source familiar with the matter said on Friday. Wu was leading a delegation for a meeting known as the “special channel,” the Financial Times reported earlier. It marked Trump’s first use of the channel since returning to the White House on Jan. 20. Citing a source familiar with the matter, the Financial Times reported that Minister of Foreign Affairs Lin Chia-lung (林佳龍) was also a part of the delegation. The visit came days after China concluded war games around Taiwan and amid Trump’s
CHIP EXCEPTION: An official said that an exception for Taiwanese semiconductors would have a limited effect, as most are packaged in third nations before being sold The Executive Yuan yesterday decried US President Donald Trump’s 32 percent tariff on Taiwanese goods announced hours earlier as “unfair,” saying it would lodge a representation with Washington. The Cabinet in a statement described the pledged US tariffs, expected to take effect on Wednesday next week, as “deeply unreasonable” and “highly regrettable.” Cabinet spokeswoman Michelle Lee (李慧芝) said that the government would “lodge a solemn representation” with the US Trade Representative and continue negotiating with Washington to “ensure the interests of our nation and industries.” Trump at a news conference in Washington on Wednesday announced a 10 percent baseline tariff on most goods
HELPING HAND: The steering committee of the National Stabilization Fund is expected to hold a meeting to discuss how and when to utilize the fund to help buffer the sell-off The TAIEX plunged 2,065.87 points, or 9.7 percent, to close at 19,232.35 yesterday, the highest single-day percentage loss on record, as investors braced for US President Donald Trump’s tariffs after an extended holiday weekend. Amid the pessimistic atmosphere, 945 listed companies led by large-cap stocks — including Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), Hon Hai Precision Industry Co (鴻海精密) and Largan Precision Co (大立光) — fell by the daily maximum of 10 percent at the close, Taiwan Stock Exchange data showed. The number of listed companies ending limit-down set a new record, the exchange said. The TAIEX plunged by daily maxiumu in just
RSS