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TSMC is demanding a delay in the delivery of high-end chip manufacturing equipment, sources say, and expects TSMC's Japanese fab to be profitable by 2

Update time : 2023-10-03 12:04:37

According to Reuters, TSMC has notified major suppliers, including Dutch lithography machine manufacturer ASML, to delay the delivery of high-end chip manufacturing equipment due to growing unease about customer demand.

Reuters said TSMC's move was aimed at better controlling costs on the one hand and becoming more cautious about future market demand on the other. TSMC later said in a response to Reuters that it did not comment on "market rumors." TSMC quoted company CEO Wei Zhejia as saying in July that weak economic conditions and weak market demand at the end of the year had made customers more cautious and more focused on inventory control.
However, according to foreign media reports, industry insiders said that after starting mass production by the end of 2024, TSMC chip foundry's wafer factory in Kumamoto, Japan is expected to be profitable in 2025.
On November 9, 2021, the company announced the construction of a joint venture called "Japan Advanced Semiconductor Manufacturing Co., Ltd." in Kumamoto Prefecture, Japan, together with Sony Semiconductor Solutions. The joint venture initially plans to invest $7 billion to build a wafer foundry.
It is reported that the factory will officially start construction in April 2022, and it is planned to start mass production by the end of 2024. After completion, the plant will use 22nm, 28nm, 12nm and 16nm processes to foundry wafers for related customers, and the monthly production capacity will reach 40,000 wafers. In February, foreign media reported that TSMC had begun coordinating the construction of a second fab near Kikuyang-cho, Kumamoto Prefecture, Japan, and the total investment is expected to exceed 1 trillion yen. The factory may be the same size as the first one or larger, and may use a more advanced 5-10 nanometer manufacturing process. In July this year, foreign media said that the company plans to start construction of a second wafer fab in Kumamoto Prefecture, Japan from April 2024.

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