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TSMC invests 100 billion US dollars to increase semiconductor production



Taipei-Taiwan Semiconductor Manufacturing Co., Apple Inc.’s main chip supplier, said it will invest $100 billion in the next three years to increase production capacity as demand surges.

Analysts said that when the global chip supply is in short supply, this planned investment is the world’s largest contract chip manufacturer and the highest record in the entire industry. The company said in a statement that it expects strong demand in the next few years. This trend is driven by the growth of 5G and high-performance computing capabilities, and the Covid-19 pandemic has accelerated this trend.

The company said on Thursday: “TSMC is working closely with our customers to meet their needs in a sustainable way.”

In a letter to a customer seen by The Wall Street Journal, CEO CC Wei stated that although the utilization rate of its manufacturing plant exceeded 1

00%, the company still could not meet demand in the past year. Mr. Wei wrote that TSMC has begun hiring thousands of new employees and plans to build new fabs and expand existing fabs.

According to New Street Research analyst Pierre Ferragu, the $100 billion in grants over the next three years will be more than twice the company’s expenditures over the past three years.


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