TSMC Launches Small-Scale Production of 5,000 Monthly Wafers Using 2nm Process at Baoshan Plant; Advanced N2P Variant Introduced Successfully

TSMC has established two advanced 2nm wafer production facilities in Taiwan, which are expected to achieve full operational capacity in the coming years. This expansion is aimed at meeting the growing demand from key clients, including industry leaders such as Apple, Qualcomm, and MediaTek. After achieving a promising 60 percent yield during its initial trial production of 2nm technology, TSMC has commenced limited production, currently producing around 5,000 wafers each month at its Baoshan facility. Additionally, the company has launched a new N2P variant, designed as an enhanced version of its first-generation 2nm process.

Future Outlook for the N2P Node: Mass Production Goals

The advanced 2nm N2P process is projected to initiate mass production by 2026, with TSMC aiming to kick off manufacturing of the initial version as early as 2025. The company operates its Baoshan and Kaohsiung plants, both playing critical roles in scaling production to keep pace with the burgeoning demand for 2nm wafers. As reported by the Economic Daily News, TSMC has already begun small-scale production using advanced lithography, though current capabilities are limited to 5,000 wafers monthly.

Interestingly, earlier reports indicated that TSMC achieved output of 10,000 wafers during initial trials, with expectations to ramp up to approximately 50,000 wafers by the end of this year. Projections suggest a potential increase to 80,000 units by 2026, although it remains unclear whether this figure encompasses both the N2 and N2P processes, or pertains to one specifically.

With both Baoshan and Kaohsiung facilities operational, TSMC has the potential to reach a combined monthly output of 40,000 wafers. The company’s unmatched development pace within the semiconductor industry positions it as the preferred partner for various firms eager to utilize cutting-edge silicon technologies.

Cost Considerations and Strategies for Clients

One significant concern for partnering companies remains the steep price associated with 2nm wafers, anticipated to be around $30,000 each. TSMC is aware of this challenge and is reportedly exploring innovative strategies to mitigate costs. One such initiative, named ‘CyberShuttle,’ is set to launch in April of this year, offering a solution that enables companies like Apple and Qualcomm to assess their chips on a shared test wafer—ultimately reducing expenses.

If TSMC can produce a significant volume of 2nm wafers, economies of scale may lead to reduced costs for its clients. However, this will only be achievable if both facilities are operating at maximum capacity. As TSMC progresses through the year, we will continue to monitor developments closely and provide timely updates to our readers.

News Source: Economic Daily News

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