June 26, 2022
TSMC Considers Building Multibillion-Dollar Plant in Singapore [Report]

TSMC Considers Building Multibillion-Dollar Plant in Singapore [Report]

Posted May 19, 2022 at 3:47pm by iClarified · 1803 views
TSMC, the world's largest chip maker, is considering building a new semiconductor factory in Singapore to address global supply shortages, reports the WSJ.

A final decision hasn’t been made yet and details of the plan are still under discussion, but preliminary talks involve a major plant whose cost would run into the billions of dollars, one of the people said. The government in Singapore, a major chip-making hub, might help fund the plant and negotiations are under way with the government’s Economic Development Board, some of the people said.

“Securing supply chains for essential components is a key issue for the Singapore government, and it is following in the footsteps of the U.S. and Japan,” said one of the people familiar with the project.

“TSMC doesn’t rule out any possibility but does not have any concrete plan at this time,” said a TSMC spokesperson.

Sources believes TSMC is considering new production lines to make 7 to 28 nm chips in Singapore. These chips would be based on older technologies but are still widely used in cars, smartphones, and other devices.

TSMC is also building a $12 billion chip factory in Arizona and a new plant in Japan. Having production facilities in multiple countries will help the country weather pandemic and geopolitical disruptions. Singapore is a favored location because of its pool of skilled talent and established ecosystem of suppliers. Trade and industry minister Alvin Tansaid has said that Singapore accounts for about 5% of global wafer fabrication capacity.

More details in the full report linked below...

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TSMC Considers Building Multibillion-Dollar Plant in Singapore [Report]
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