Tokyo Electron completed a ¥47 billion ($314 million) research building at its Kumamoto subsidiary, positioning the chipmaking equipment supplier to collaborate more closely with nearby clients including Taiwan Semiconductor Manufacturing Co. Nikkei reported the facility aims to support development of 1-nanometer semiconductors.
The 27,000-square-meter Process Development Building at Tokyo Electron Kyushu will focus on coater/developers, cleaning systems and 3D packaging equipment—technologies critical for advancing chip performance and integration. Construction began in October 2023 at the Koshi site.
The investment underscores Tokyo Electron’s efforts to capitalize on proximity to TSMC’s expanding Kumamoto operations, where the Taiwanese giant manufactures chips using 12-nanometer to 28-nanometer processes. The region has emerged as a semiconductor hub with companies racing to meet surging demand for advanced chips used in artificial intelligence and high-performance computing.
Tokyo Electron’s timing reflects broader industry dynamics. Japan holds an 88% global market share in coater/developers, giving the company leverage as chipmakers push toward smaller nodes. The completion ceremony comes months after Tokyo Electron dismissed an employee at its Taiwan unit linked to a trade secrets investigation involving TSMC, raising questions about technology safeguards.
The new facility incorporates base isolation systems and digital technologies intended to accelerate development cycles, though Tokyo Electron faces pressure to demonstrate returns on escalating capital expenditures across its manufacturing network.
