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TSMC to build a chip building plant in the US with Government backing

The US wants to rely less on Asia for the latest tech

TSMC to build a chip building plant in the US with Government backing

TSMC to build a chip building plant in the US with Government backing

The Taiwan Semiconductor Manufacturing Company, TSMC, is reportedly planning to build a multi-billion dollar chip-making plant in the US, a move which hopes to lower the US' reliance on Asia for semiconductor manufacturing. 

Currently, the chipmaker is said to be negotiating a deal with the US government, which will likely see a new production facility be created in the US state of Arizona. This deal will see the US government support TSMC, though at this time it is unknown what form this support will take. The move will allow US manufacturers to produce sensitive equipment on US soil, a substantial positive for the US government when it comes to national security.  

TSMC currently produces chips for several US manufacturers, including Nvidia, Apple, AMD, and Qualcomm. As it stands, TSMC plays a critical role in the creation of most high-end electronics, be it smartphones, games consoles, computers or national infrastructure. Bringing a TSMC fab to the US will also bring high-skilled workers to Arizona, a move which will undoubtedly be positive for the local economy. 

Regardless, cutting-edge fabs are expensive to build and take years to enter operation, which means that the US will need to give TSMC some substantial incentives to make building in the US worth their while. Expect big tax breaks, a direct financial investment, and other big incentives to bring TSMC to US soil.  

In the US, both Intel and GlobalFoundries are big players in the world of silicon fabrication. That said, neither company is well-suited for manufacturing high-end silicon for 3rd party US companies. Intel's manufacturing is dedicated almost exclusively to its own product lines while GlobalFoundries has dropped out of leading-edge foundry market, ironically due to a lack of investment for its planned 7nm lithography node.   

An official announcement of the US' deal with TSMC is expected to be made in the coming days. 
   

TSMC to build a chip building plant in the US with Government backing  

You can join the discussion on TSMC's plans to create a US-based chip factory on the OC3D Forums

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Most Recent Comments

14-05-2020, 18:25:14

NeverBackDown
Wonder if this will make products cheaper. Depends on overall logistics I guess.Quote

14-05-2020, 19:10:04

Dicehunter
Good start, I hope the US and UK/EU start following suit with other products, It's not good to be reliant on Asia for everything.Quote

14-05-2020, 19:39:08

Bartacus
Umm I wonder if some people understand that TSMC stands for Taiwan Semiconductor Manufacturing Company. This isn't reducing reliance on Asia, this is putting an Asian plant in the USA, LOL!Quote

14-05-2020, 19:43:26

Dicehunter
Quote:
Originally Posted by Bartacus View Post
Umm I wonder if some people understand that TSMC stands for Taiwan Semiconductor Manufacturing Company. This isn't reducing reliance on Asia, this is putting an Asian plant in the USA, LOL!

It lowers the reliance on having to import things from Asia, That's a good thing considering how many problems come out of that continent.Quote

14-05-2020, 19:45:55

NeverBackDown
Quote:
Originally Posted by Dicehunter View Post
It lowers the reliance on having to import things from Asia, That's a good thing considering how many problems come out of that continent.
Yeah thought this was pretty obvious.

Also brings jobs back from overseas and brings in more taxes from the workers to boost the local/State economy.Quote
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