Apple Silicon supplier TSMC affirms commitment to Taiwan with new domestic fab

On Monday, Taiwan Semiconductor Manufacturing Company (TSMC), the world’s leading chipmaker and Apple Silicon supplier, announced that its newly constructed domestic fabrication plant (fab) will inject 7,000 high-tech jobs into Taiwan’s economy. The move reaffirms the company’s commitment to bolstering its home base amid concerns that its growing investments abroad, particularly in the United States, might weaken its presence on the island. TSMC’s expansion in Taiwan comes as a response to both economic and geopolitical pressures, signaling confidence in the region’s role as a global semiconductor hub.
The new fab is expected to enhance Taiwan’s technological edge, a critical factor in an industry where demand for advanced chips—used in everything from smartphones to artificial intelligence—continues to surge. TSMC emphasized that this development will not only create direct employment opportunities but also stimulate growth in related sectors, reinforcing the island’s economic resilience. The 7,000 jobs, primarily in engineering and technical fields, underscore TSMC’s reliance on Taiwan’s skilled workforce.
Concerns about TSMC’s overseas ventures, notably its multibillion-dollar factory in Arizona, had sparked debate about a potential hollowing out of Taiwan’s semiconductor dominance. Critics feared that U.S. investments, driven by Washington’s push for domestic chip production, might divert resources and talent. However, TSMC’s leadership moved to dispell these worries, pledging ongoing expansion in Taiwan alongside its global projects. This dual-track strategy aims to balance international diversification with domestic strength, ensuring Taiwan remains the heart of TSMC’s operations while meeting global supply chain demands.
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MacDailyNews Take: In January, TSMC began producing 4-nanometer (4nm) chips for U.S. customers in Arizona. Apple’s current state-of-the-art A18 series (launched September 9, 2024) and M4 series (launched May 15, 2024) chips are produced using TSMC’s 3nm N3E process. Apple’s previous generation silicon, the A17 Pro (launched September 12, 2023) and M3 series (launched October 30, 2023), are produced using TSMC’s 3nm N3B process.

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