Taiwan Semiconductor Manufacturing Company (TSMC) is facing record demand for its 3nm and 5nm process technologies, writes WccfTech. According to Taiwanese portal Ctee, the company's production lines are already busy, and in the first half of next year their utilization is forecast at almost 100%.
The main customers are manufacturers of mobile processors and high-performance computing solutions. Demand is growing against the backdrop of the active implementation of artificial intelligence and the need for modern chips from large technology companies. In particular, the 3-nm N3P process technology is used in Apple's new flagship chips A19 and the upcoming M5 series processors. MediaTek and Qualcomm have also integrated this node into their mobile solutions, including the Snapdragon X2 Elite chip for PCs.
In the AI accelerator segment, TSMC is responsible for manufacturing the 3nm NVIDIA Rubin and AMD Instinct MI355X chips. This concentration of orders is leading to wafer shortages, making it difficult for other customers to access manufacturing resources.
It is expected that due to full utilization of the lines, the company may raise prices for technological processes, as well as expand its capacities. Part of the investment may be directed to the launch of production using the N3 process in Arizona, USA, which also requires significant costs.
Demand for the 5nm process continues to be strong, adding to the company's workload. Apple has also reportedly reserved a significant portion of its future 2nm capacity in advance. All of this suggests that large companies are eager to secure access to key resources in the coming years and avoid chip shortages.
The global industry's dependence on TSMC's production in Taiwan remains critical, so the US government is increasing efforts to concentrate the company's capacity on its own territory.