Taiwan Semiconductor Manufacturing Co. (TSMC) will speed up volume production at its second and third chip fabs in north Phoenix to keep up with AI-related demand from customers, the company’s top executive said.
TSMC CEO C.C. Wei told investors and analysts on a July 17 earnings call that TSMC is seeing “strong interest” from its leading U.S. customers, prompting the company’s decision to quickly boost production in Arizona.
TSMC’s first Arizona fab entered high-volume production in late 2024, using N4 process technology with a yield comparable to its Taiwan fab. The company completed construction of its second fab — which will utilize 3-nanometer process technology — in April and broke ground on its third fab at its north Phoenix site that same month.
“Construction of our third fab, which will utilize 2-nanometer and A16 process technologies, has already begun and we will look into speeding up the production schedule as well based on the strong AI-related demand from our customers,” Wei said.
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