Taiwan’s chipmaker TSMC plans to expend into Japan

Taiwan Semiconductor Manufacturing Company (TSMC) is set to open its new chipmaking foundry on Japan’s Kyushu island on February 24, as part of its global expansion strategy.
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Taiwan’s TSMC is set to open its latest chipmaking foundry on Japan’s Kyushu island on February 24th, according to chairman Mark Liu. This move is part of the company’s plan to expand its global manufacturing footprint. TSMC, which serves clients such as Apple and Nvidia, controls over half of the world’s silicon wafer production.

During an investors’ call, chairman Mark Liu revealed that the long-awaited Japan foundry will utilize advanced process technology, including 12- and 16-nanometre and 28- and 22-nanometre process technology. The official opening ceremony will take place on February 24th, while volume production is expected to commence in the fourth quarter of 2024.

In November, Japan’s government announced plans to spend $13 billion to enhance domestic semiconductor production and generative AI technology, including a second TSMC plant in Kumamoto. While discussions with the Japanese government are ongoing, no definitive decision has been reached yet.

Apart from the Japan foundry, TSMC also plans to build its first fab in Europe, in Dresden, Germany, with construction expected to commence in the fourth quarter of this year. The TSCM CEO C.C. Wei remains optimistic about the company’s growth, citing the increasing demand for generative AI technology that depends on high-quality silicon wafers.