Taiwan Semiconductor Manufacturing Co. (TSMC), the global leader in semiconductor technology, announced its plans to commence production of 1.6-nanometer (nm) chips by 2026. The revelation came during the North America Technology Symposium in Santa Clara, California, where TSMC introduced its A16 technology. This advancement is set to significantly enhance logic chip density and performance, maintaining TSMC’s edge in the semiconductor industry.
TSMC’s Chief Executive C.C. Wei highlighted the technology’s innovative nanosheet transistors with “backside power rails,” a novel design that optimizes power delivery and boosts energy efficiency by routing power from the bottom of the chip upwards. This method simplifies internal wiring and is poised to set new standards in chip design.
The semiconductor landscape remains highly competitive, with major players like Intel and Samsung also pushing forward with their advancements. Intel has announced the implementation of backside power in its forthcoming 20A and 18A technologies, targeting a release as soon as 2025. Meanwhile, Samsung plans to start mass production of its 1.4-nm chips in 2027.
These developments come as the demand for increasingly powerful and efficient chips grows, especially with the rise of generative AI technologies which require superior computing power. TSMC’s strategic move not only underscores its leadership in chipmaking but also aligns with global efforts to innovate within the tech industry. The U.S. government has already invested $21.5 billion in TSMC, Intel, and Samsung under the CHIPS Act to foster advanced chip production on American soil.
As the top provider of foundry services, TSMC holds a nearly 60% market share, dominating over competitors like Samsung and UMC, and is positioned to drive future innovations in the semiconductor sector.
