The big picture: Chipmakers are investing money in trying to alleviate the chip shortage, but even with all the money in the world, time is the biggest enemy. Some, like Pat Gelsinger, CEO of Intel, believe it might take a few years before they can catch up with demand.
The Taiwan Semiconductor Manufacturing Company (TSMC) plans to build several additional chip manufacturing plants in Arizona.
The chipmaker, if you remember, announced in May 2020 that it would spend $ 12 billion to build a new plant in Arizona. When completed, the plant is expected to produce 20,000 semiconductor wafers per month in a 5nm process and create some 1,600 high-tech jobs.
Anonymous sources who are said to be familiar with the matter told Reuters that TSMC is preparing to build up to five more factories in Arizona. The sources did not say how much additional production capacity the new factories would bring, or what manufacturing technology they would use.
Two sources told Reuters that TSMC aims to build six factories. One person said construction will occur over the next three years, but the publication was unable to independently confirm this timeline (it is not known whether these were six new factories, or six factories in total, including the one already announced).
Last month TSMC announced plans to spend $ 100 billion over the next three years on expansion and R&D projects, and yesterday Intel announced it would spend $ 3.5 billion to modernize its chip production facilities in New Mexico.
“Once there is an official ruling, we will release it accordingly,” TSMC said when asked for comment by Reuters.
Image credit Ascannio, Quardia