TSMC will pour $40 billion into two Arizona chip fabs

Alfonso Maruccia

Posts: 184   +91
Staff
Forward-looking: Taiwanese giant TSMC has officially confirmed it will build an additional fab for chip manufacturing in the US. The Arizona site will grow, the investment will skyrocket and the number of newly-created jobs will make politicians very, very happy.

Taiwan Semiconductor Manufacturing Company (TSMC) will expand its building and manufacturing efforts on US soil in a rather significant way. After many rumors, unofficial confirmations and high-level interviews, the much awaited announcement has finally become official. TSMC's Arizona site is growing, nay it's swelling, brimming with jobs and billions of dollars of investments.

TSMC says its new venture will represent the largest foreign direct investment in Arizona history, and one of the largest foreign direct investments in US history. The company will spend $40 billion overall, building not just one but two different fabs with an already scheduled production (starting from 2026) of 3nm-based chips in the second fab.

There will be over 10,000 construction workers employed at the site, TSMC said, and the two fabs are expected to create 10,000 high-paying tech jobs including 4,500 jobs directly from TSMC. Once completed, the Arizona fabs will have a total manufacturing output of 600,000 wafers per year, with an estimated end-product value of more than $40 billion.

The first Arizona fab is expected to come online in 2024, making chips with TSMC's N5 family of manufacturing processes – N5, N5P, N4, N4P, and N4X. Its production capacity will be 240,000 wafers per year. The second fab will almost quadruple the company's investment, bringing the N3 family of process nodes to the US some years after being used in Taiwan-based productions.

Even though the Arizona site is the company's largest investment overseas, TSMC will indeed continue to keep its most advanced and up-to-date chip manufacturing technology on Taiwan soil for quite some time. The 3nm node will still be considered advanced in 2026 but the chip manufacturing market could be very different by then.

Other companies have also announced a spending increase to create new US-based chip manufacturing capabilities. Intel will spend $20 billion for a new facility in Columbus, Ohio, while Samsung will invest $17 billion in Austin, Texas. The Korean giant could go even further, spending up to $200 billion for 11 different manufacturing plants in the area.

Speaking at the TSMC facility, President Joe Biden said "American manufacturing is back."

Permalink to story.

 

psycros

Posts: 4,560   +6,867
Biden happily taking advantage of Trump's policies is the funniest of ironies. But its good for America and the free world, which is all that matters.
 

Dimitrios

Posts: 1,102   +912
Will this drastically increase spy's/terrorist? With this amount of investing I hope security will be a focus. Our government in the last 2 years of now is allowing anyone in on purpose. Please no politics all the proof is out there and I always do a lot of research when it comes to discussions like this.

$50 Say's this may be the next " 9/11" so to speak. I hope not. Jealously from other countries will spike.
 

Uncle Al

Posts: 9,363   +8,581
And this could be just a soft method to eventually sell out their existing holdings and take over or become the major holder it the US company, allowing them to slip through China's grasp .......
 

Arbie

Posts: 446   +768
Announced immediately after Dems & sane Repubs barely defeated a slate of election-denying lunatics in the midterms. Who had made clear that the Arizona results for 2024 would be thrown out if they disapproved. So, guaranteed political disaster. Not to mention continued forced-birth and other talibangelical anathemas to an intelligent, highly educated, and diverse workforce.
 
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AlaskaGuy

Posts: 742   +612
Announced immediately after Dems & sane Repubs barely defeated a slate of election-denying lunatics in the midterms. Who had made clear that the Arizona results for 2024 would be thrown out if they disapproved. So, guaranteed political disaster. Not to mention continued forced-birth and other talibangelical anathemas to an intelligent, highly educated, and diverse workforce.
😂
 

JamesBlond

Posts: 211   +157
You have to wonder why they are pushing TSMC into Arizona, not 1 American employed in the company guaranteed .
 

JamesBlond

Posts: 211   +157
Announced immediately after Dems & sane Repubs barely defeated a slate of election-denying lunatics in the midterms. Who had made clear that the Arizona results for 2024 would be thrown out if they disapproved. So, guaranteed political disaster. Not to mention continued forced-birth and other talibangelical anathemas to an intelligent, highly educated, and diverse workforce.
ignorance must be bliss
 

sorten

Posts: 182   +296
TechSpot Elite
Biden happily taking advantage of Trump's policies is the funniest of ironies. But its good for America and the free world, which is all that matters.
The CHIPS and Science Act was signed into law by Biden and was opposed by most Republican lawmakers. Let me know if you need me to look up links for you.

Good news for Arizona. That's a lot of temporary and permanent jobs moving into the state.

 

drjekelmrhyde

Posts: 403   +147
Is it something to putting data centers and chip fabs in the driest and hottest states? If it's a red vs blue thing, put them in Indiana.
 

bandit8623

Posts: 459   +251
Biden happily taking advantage of Trump's policies is the funniest of ironies. But its good for America and the free world, which is all that matters.
its not good for polution and water use.

im not a tree hugger, but look at what 3m has done to minnesotas water system