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TSMC gears up for mass production of 3-nanometre chips for high-end computers and 5G phones

  • iPhone maker Apple, 5G chip developer Qualcomm and graphics processing unit giant Nvidia will be among the first clients to use TSMC’s latest technology
  • TSMC reported record sales last year on robust demand for chips used in 5G smartphones, notebooks and high-performance computers

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Flags are are displayed outside TSMC headquarters in Hsinchu, Taiwan. Photo: Reuters

Taiwan Semiconductor Manufacturing Co (TSMC), the world’s biggest contract chip maker, is gearing up to roll out its newest chip production process, enabling the development of integrated circuits that speed up the performance of consumer electronics devices without sacrificing battery life.

The company will begin “risk production” of its 3-nanometre chipmaking process this year, an advance over the 5-nanometre process that was rolled out for mass production in 2020. The technology advance will deliver higher performance and longer battery life for 5G smartphones and other high-end electronics products.

Risk production means TSMC has developed basic production formulas and the process has passed reliability tests. The 3-nanometre process will enter volume production in 2022, a TSMC spokeswoman said, followed by the roll-out of a 2-nanometre process on an undisclosed schedule.

“We do believe that many customers and diverse applications can leverage the advanced technology to unleash innovation,” the spokeswoman said.

The 3-nm process allows 250 million transistors per square nanometre while 2-nm technology will enable more than 310 million transistors to be packed into the same area, said Tseng Guan-wei, an analyst with Taipei-based market research firm TrendForce. Higher transistor counts can lower power consumption while maintaining speed or boost performance with the same power usage, Tseng said.

TSMC’s advanced chip technology will be used in central processors, graphics processors and artificial intelligence (AI) accelerators – collectively known as high-performance computing – said Samuel Wang, California-based analyst with market research firm Gartner. Modem chips for 5G and future generation 6G wireless devices will also make use of TSMC’s 3-nanometre technology, Wang said.
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