Taiwan Semiconductor Manufacturing Co. has started producing its first 2-nanometer chips at the Kaohsiung facility, marking an earlier-than-expected milestone for the world’s largest contract chipmaker.
The Kaohsiung city government disclosed Sunday that TSMC’s F22 plant successfully manufactured its initial batch of 12-inch 2nm wafers, suggesting production timelines are running ahead of previous estimates. The facility is projected to generate more than NT$150 billion ($4.7 billion) in annual revenue initially, with plans to expand to five manufacturing plants in the Nanzih district.
TSMC executives have repeatedly stated that 2nm chips would enter mass production in the second half of this year. The chipmaker enters a quiet period ahead of its October 16 earnings call, during which investors will likely scrutinize capacity allocation and customer commitments.
Market watchers expect Apple, Nvidia, Qualcomm, Advanced Micro Devices and MediaTek to be among the early adopters of the advanced node. The technology promises performance improvements crucial for artificial intelligence and high-performance computing applications, though at premium pricing that could test customer demand.
Kaohsiung Mayor Chen Chi-mai said local authorities compressed what would typically be a 17-year development timeline into two years, providing infrastructure support to expedite the project. The accelerated schedule underscores Taiwan’s determination to maintain its semiconductor manufacturing dominance as geopolitical pressures intensify.
