TSMC is expanding production facilities at 14-fab at the Tainan Science Park with a total investment at the park of NT$500 billion (US$16.87 billion), said the sources, adding that TSMC will utilize 14-fab to manufacture the A7 chips for Apple. Meanwhile, TSMC has set a capex budget of US$9 billion for 2013, up from US$8.3 billion spent in the previous year. About 90% out of the capex for 2013 will be used to ramp up TSMC's 28nm capacity.
Apple has been rumored to looking for alternative manufacturers for its mobile chips to reduce reliance on Samsung. Both TSMC and Intel are considered possibilities.