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posted by Fnord666 on Friday May 15 2020, @03:42PM   Printer-friendly
from the made-in-the-USA dept.

TSMC to build a $12 billion advanced semiconductor plant in Arizona with U.S. government support

Taiwan Semiconductor Manufacturing Co., the world's largest contract semiconductor foundry, said today that it plans to build an advanced chip foundry in Arizona with support from the state and the United States federal government.

The announcement follows a Wall Street Journal report earlier this week that White House officials were in talks with TSMC and Intel to build foundries in the U.S., as part of its effort to reduce reliance on chip factories in Asia. Based in Hsinchu, Taiwan, TSMC provides chip components for many of the world's largest semiconductor companies and its U.S. clients include Apple and Qualcomm.

The plant, scheduled to start production of chips in 2024, will enable TSMC's American customers to fabricate their semiconductor products domestically. It will use the company's 5-nanometer technology and is expected to create 1,600 jobs and have the capacity to produce 20,000 wafers a month.

The U.S.-China trade war, national security concerns, geopolitical unrest and the COVID-19 pandemic have all underscored the shortfalls of relying on foundries located abroad and international supply chains.

The U.S. government has reportedly been in talks with TSMC for months, though one sticking point for the company was the high cost of building a new foundry. TSMC chairman Mark Liu told the New York Times in October that the project would require major subsidies because it is more expensive to operate a factory in the U.S. than in Taiwan.

Also at AnandTech, The Verge, CNN, South China Morning Post, Wccftech, and Bloomberg.

Previously: U.S. Attempting to Restrict TSMC Sales to Huawei
Washington in Talks with Chipmakers about Building U.S. Factories

Related: TSMC Holds Groundbreaking Ceremony for "5nm" Fab, Production to Begin in 2020
TSMC Has Started Development of a "2nm" Process Node


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  • (Score: 0) by Anonymous Coward on Friday May 15 2020, @04:16PM (6 children)

    by Anonymous Coward on Friday May 15 2020, @04:16PM (#994683)

    Why Arizona? Any explanation for that choice?

  • (Score: 0, Disagree) by Anonymous Coward on Friday May 15 2020, @04:28PM (2 children)

    by Anonymous Coward on Friday May 15 2020, @04:28PM (#994688)

    It's a Red State

    • (Score: 0) by Anonymous Coward on Friday May 15 2020, @04:36PM

      by Anonymous Coward on Friday May 15 2020, @04:36PM (#994689)

      Yeah, I get that. But maybe a pink or purple state would be a more strategic choice?
          https://en.wikipedia.org/wiki/Red_states_and_blue_states [wikipedia.org]
       

    • (Score: 2) by epitaxial on Friday May 15 2020, @06:18PM

      by epitaxial (3165) on Friday May 15 2020, @06:18PM (#994719)

      They probably got the fattest and longest tax break. All these states and cities will give incentives like 10 year tax breaks and stuff like that. Usually after 10 years the company pulls out.

  • (Score: 1) by fustakrakich on Friday May 15 2020, @05:18PM

    by fustakrakich (6150) on Friday May 15 2020, @05:18PM (#994706) Journal

    Yeah, Arizona is a nice place. The desert is prettier than Nevada's, especially around Tucson.

    --
    La politica e i criminali sono la stessa cosa..
  • (Score: 5, Informative) by slinches on Friday May 15 2020, @05:24PM

    by slinches (5049) on Friday May 15 2020, @05:24PM (#994708)

    The Phoenix area has historically been a significant location in the semiconductor industry dating back to Motorola in the 50s.

    These companies all have facilities in the valley:
    Amkor Technology
    Arm
    ASM
    ASML
    Broadcom
    Cirrus Logic
    Entrepix
    Everspin Technologies
    FlipChip International
    Integrated Device Technology
    Infineon
    Intel Corporation
    Marvell Technologies
    Microchip Technology
    NXP Semiconductors
    ON Semiconductor
    Qualcomm
    Retronix Semiconductor
    SUMCO
    Sumitomo Chemical

  • (Score: 0) by Anonymous Coward on Friday May 15 2020, @06:18PM

    by Anonymous Coward on Friday May 15 2020, @06:18PM (#994720)

    Fewer earthquakes than California.