The semiconductor industry is witnessing a significant shift, with Taiwan Semiconductor Manufacturing Co. (TSMC) at the forefront of this transformation. TSMC is set to start installing equipment into its 2nm-capable fab in the Hsinchu Science Park in April 2024. This development might confirm a significant progression for the TSMC N2 project.
TSMC is the world’s largest contract chipmaker, supplying chips to leading tech companies such as Apple, Nvidia, AMD, Qualcomm, and many others. The company’s success in the last 20 years was largely conditioned by its ability to offer a new manufacturing technology with PPA (power, performance, area) improvements every year and introduce a brand-new node every 18 – 24 months while maintaining predictably high yields.However, as the complexity of modern fabrication processes gets to unprecedented levels, it is getting much harder to keep the pace of innovation while also sustaining predictable yields and simple design principles.
Meanwhile, Samsung and TSMC are vying for 2nm supremacy. Samsung is also developing its own GAA technology, called MBCFET (multi-bridge channel field-effect transistor).In a statement to the Financial Times, TSMC said that the N2 technology development was “progressing well and on track for volume production in 2025, and will be the most advanced semiconductor technology in the industry in both density and energy efficiency when it is introduced.” It remains to be seen whether Samsung can challenge it with superior yield and production capacity.
TSMC is planning to build a 2nm chip fab in Hsinchu, one of Taiwan’s big chip manufacturing centers. The company received the green light from the country’s Environmental Review Committee to begin construction in early 2022. The second phase where the foundry equipment is installed could start as early as 2023. The new facility will occupy 50 acres of land in the Hsinchu Science Park and is expected to start manufacturing 2nm chips in 2024.
TSMC will gradually ramp up production as demand for the new process node grows, but the typical target for a GigaFab is 100,000 wafer starts per month. TSMC also has plans for a second 2nm GigaFab that could be established in Kaohsiung, at the Ciaotou Science and Industrial Park.The secret sauce of TSMC’s N2 process technology is the use of gate-all-around (GAA) transistors, but the company is not yet prepared to reveal more details.
A more pressing problem is the water need of the new Baoshan facility, which is expected to use no less than 98,000 tons of water on a daily basis. To that end, TSMC set a goal to use 10 percent recycled water by 2025 and 100 percent reused water by 2030.
In the meantime, the construction of TSMC’s N5 facility in Arizona is underway, as is the expansion of its 28nm fab in Nanjing, China. Additionally, the company is evaluating building more fabs in Germany and Japan.
The semiconductor industry is in a state of flux, with TSMC leading the charge. The company’s ambitious plans for its 2nm fab signal a significant shift in the industry’s landscape. As TSMC continues to innovate and push the boundaries of what’s possible, the rest of the industry will undoubtedly be watching closely.
Relevant articles:
– TSMC will start equipping the 2nm fab in April 2024
– TSMC will start equipping the 2nm fab in April 2024
– TSMC gets green light on 2nm fab, plans to have it operational in 2024
– TSMC Roadmap Update: N3E in 2024, N2 in 2026, Major Changes … – AnandTech