TSMC’s 1.4nm Angstrom Process: High Costs of $45,000 Per Wafer May Challenge Client Orders

TSMC’s 1.4nm Angstrom Process: High Costs of $45,000 Per Wafer May Challenge Client Orders

The race for dominance in the advanced semiconductor market is heating up as industry giants such as Apple, MediaTek, and Qualcomm set their sights on TSMC’s groundbreaking 2nm process. TSMC, known for its leading-edge technology, began accepting orders for this next-generation node on April 1, priced at a staggering $30, 000 per wafer. For these prominent companies, spending billions is justifiable to remain competitive and to secure technological superiority.

The Upcoming 1.4nm ‘Angstrom’ Process: A Financial Leap

Following the introduction of the 2nm process, TSMC is gearing up for its successor, the highly anticipated 1.4nm “Angstrom”process. However, the production costs are projected to soar to $45, 000 per wafer, representing a 50% increase from the previous node. A recent report by China Times indicates that only TSMC’s select top-tier clients are likely to place orders for these wafers, which highlights the significant financial challenge ahead. Furthermore, the mass production of 1.4nm chips may not commence until as late as 2028, leaving ample time for firms to strategize their next steps.

At present, enthusiasm for the 1.4nm technology appears muted, with no current clients publicly demonstrating interest. Most clients are concentrating their resources on the immediate 2nm offerings, which present their own competitive advantages in the short term.

MediaTek’s Strategic Move and Apple’s Aspirations

MediaTek, a consistently strong customer of TSMC, has revealed its plans to initiate the tape-out process for its 2nm chipsets in the fourth quarter of 2025. This move signals to competitors the necessity of ramping up their capabilities or risk falling behind in this rapidly evolving market. Apple, renowned for its innovation, is likely to be eager to adopt TSMC’s Angstrom process earlier than others, despite past criticism regarding its slower adoption of new technology standards.

Anticipating the Arrival of 3nm Chipsets

This year, we can expect the launch of several new chipsets manufactured using TSMC’s third-generation 3nm process, referred to as ‘N3E.’ Major products on this process will include MediaTek’s Dimensity 9500, Qualcomm’s Snapdragon 8 Elite Gen 2, and Apple’s forthcoming A19 and A19 Pro. This transition marks a critical evolution in semiconductor capabilities, elevating performance and efficiency standards within the industry.

For more detailed updates, you can refer to the China Times.

Additional insights can be found through Wccftech.

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