Economy TSMC Arizona Has Been Activated

[Deorum]

The 48th and final contiguous state admitted the union, Arizona is home to the greatest geological spectacle on the planet and wild west cultural history that is second to none. The early economy was originally based on the Five C's: cattle, citrus, copper, cotton, and climate -- and that now includes computer chips, as the state has aggressively positioned itself to be the semiconductor manufacturing capital of America. Already the largest global manufacturing site for industry OG Intel Corp with a 700 acre campus in Chandler, TSMC is the crown jewel of a local industry ecosystem that has been gradually built for over half a century. The original $12 billion stateside investment secured during the waning days of the DJT Admin has now ballooned to in excess of $65 billion and growing.

TSMC names Rose Castanares as Arizona plant president as CEO Y.L. Wang races to accelerate production

TSMC has recently announced that Brian Harrison, president of TSMC Arizona, will retire on December 31, 2024. Effective October 1, he will transition to an advisory role within the Arizona CEO office, serving as an advisor to the chairman. Simultaneously, Rose Castanares, currently the executive...

www.digitimes.com

The 4nm process is projected to enter mass production in the second quarter of 2025, with monthly capacity expected to reach 30,000 wafers by the first quarter of 2026. TSMC's second fab is scheduled to begin equipment installation in the second half of 2026. Alongside the originally planned 3nm process, the facility will introduce 2nm technology. By the end of 2027, the combined monthly production capacity of the 4nm and 3nm processes is expected to reach around 50,000 wafers, with 2nm production starting in 2028. Additionally, TSMC has announced plans for a third fab, which is expected to incorporate 2nm and more advanced process technologies by 2030.

Back in January 2021:

It isn't going to stop with one $12 billion fabrication plant once they get a taste of the convenience the local industry ecosystem and supply chain here provides. I mean, it's obviously significant factor in why they chose Arizona to begin with but it's a different thing when the investment yields dividends.

 

[Seano]

Thanks to Trump.

 

[Deorum]

Thanks to Trump.

He lobbied pretty hard, I was following it as things happened. TSMC putting down firm roots into American stateside production also opens them up to wider consideration and ability to secure DoD contracts.

 

[Hog-train]

TSMC Arizona struggles to overcome vast differences between Taiwanese and US work culture​

TSMC Arizona struggles to overcome vast differences between Taiwanese and US work culture

Worker treatment that's acceptable in Taiwan simply won't be tolerated by US employees

www.tomshardware.com

 

[Seano]

TSMC Arizona struggles to overcome vast differences between Taiwanese and US work culture​

TSMC Arizona struggles to overcome vast differences between Taiwanese and US work culture

Worker treatment that's acceptable in Taiwan simply won't be tolerated by US employees

www.tomshardware.com

Well, yeah. We don't allow slave labor in the states.

 

[Hog-train]

Well, yeah. We don't allow slave labor in the states.

Taiwan is also not importing the MOST advanced chip fab to the US. Because then they'd lose all leverage for the US helping to protect their country if China invades.

 

[Seano]

Taiwan is also not importing the MOST advanced chip fab to the US. Because then they'd lose all leverage for the US helping to protect their country if China invades.

I'm fine with that. Its still jobs , tech and industry coming to the US. Win, win.

 

[Deorum]

Taiwan is also not importing the MOST advanced chip fab to the US. Because then they'd lose all leverage for the US helping to protect their country if China invades.

I'm fine with that. Its still jobs , tech and industry coming to the US. Win, win.

It's pretty fucking advanced, tbh. Originally, it was supposed to be $12 billion in capex for 1 fab producing 5nm chips. It is now $65 billion for 3 fabs that will deploy 2nm and beyond. The intellectual property for and production of the machinery required to manufacture advanced microchips remains almost exclusively within the grip of five firms that are based in the United States, Netherlands, and Japan. They are Applied Materials (US), ASML (Netherlands), Lam Research (US), KLA-Tencor (US), and Tokyo Electron (Japan). TSMC isn't producing shit without those inputs, period.

 

[Deorum]

 

[ShadowRun]

My home state , it has changed a lot .

That’s going to be good for Phoenix metro area , but housing is already high now .
Also intel cutting 15000 jobs

Chipmaker Intel to cut 15,000 jobs as tries to revive its business and compete with rivals

Chipmaker Intel says it is cutting 15% of its massive workforce — about 15,000 jobs — as it tries to turn its business around to compete with more successful rivals like Nvidia and AMD.

apnews.com

 

[Deorum]

My home state , it has changed a lot .

That’s going to be good for Phoenix metro area , but housing is already high now .
Also intel cutting 15000 jobs

Chipmaker Intel to cut 15,000 jobs as tries to revive its business and compete with rivals

Chipmaker Intel says it is cutting 15% of its massive workforce — about 15,000 jobs — as it tries to turn its business around to compete with more successful rivals like Nvidia and AMD.

apnews.com

My home equity is through the fucking roof, but good lord what a trying time for people looking to buy and become homeowners. I'd be livid as a renter.

The funny thing is that Intel currently has two brand new fabs under construction at their Ocotillo campus in Chandler as we speak. Those cuts are savage though, just brutal. They fucked around for damn near an entire decade and are about half-way through another of trying to right the ship. A lifeline is coming for them in regards to process technology at least, because they're first in line for the procurement of ASML's next generation High-NA EUV lithography tech.

 

[Deorum]

How is TSMC's complex in Phoenix coming along?

All the talk of culture clashes, delays, inefficiency is just that.

 

[Long Dark Blues]

All the talk of culture clashes, delays, inefficiency is just that.

That's awesome, great news!

 

[ShadowRun]

My home equity is through the fucking roof, but good lord what a trying time for people looking to buy and become homeowners. I'd be livid as a renter.

The funny thing is that Intel currently has two brand new fabs under construction at their Ocotillo campus in Chandler as we speak. Those cuts are savage though, just brutal. They fucked around for damn near an entire decade and are about half-way through another of trying to right the ship. A lifeline is coming for them in regards to process technology at least, because they're first in line for the procurement of ASML's next generation High-NA EUV lithography tech.

Ah I see well are you going to sell ? I been telling my brother to sell I think housing market will decline a lot soon, but who knows with that

 

[High Test With da Best]

Good thread @Deorum that 550% increase is wild and welcome news!

Hopefully H1-B's can ramp up and smooth out and local technical training centers and vouchers for programs will pop up

 

[CantCucktheTuck]

the more manufacturing we can bring back, the better. I bet they offer fair pay and good insurance.

 

[fungi]

Taiwan, this one is for you!

 

[PEB]

All the talk of culture clashes, delays, inefficiency is just that.

Fxcking chip act a dam giveaway lol. Biden also negotiated to get workers better working environment. Oh Apple an Nvidia alone make up a sizable potential of their business. TSMC likely saw Intel aligning with qualcomm, global foundry an Apollo managment for 5 billion. They went full on getting it done out of fear. Oh it sounds like they are not as far along as the thread stater posted. It sounds like they wanted the 7.5 billion from the US.

"
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday obtained the government’s approval to inject an additional US$7.5 billion into its US subsidiary, the Department of Investment Review said in a statement.

The department approved TSMC’s application of investing in TSMC Arizona Corp, which is engaged in the manufacturing, sales, testing and design of IC and other semiconductor devices, it said.

The latest capital injection follows a US$5 billion investment for TSMC Arizona approved in June. The chipmaker has broken ground on two advanced fabs in Arizona with aggregated investments approved by the department totaling US$24 billion thus far."

 

[Hog-train]

It's pretty fucking advanced, tbh. Originally, it was supposed to be $12 billion in capex for 1 fab producing 5nm chips. It is now $65 billion for 3 fabs that will deploy 2nm and beyond. The intellectual property for and production of the machinery required to manufacture advanced microchips remains almost exclusively within the grip of five firms that are based in the United States, Netherlands, and Japan. They are Applied Materials (US), ASML (Netherlands), Lam Research (US), KLA-Tencor (US), and Tokyo Electron (Japan). TSMC isn't producing shit without those inputs, period.

I've been reading TSMC is purposefully delaying and kind of reneging on the setup for these fabs. They're already delayed by a year or two.

That is an eternity in the silicon chip fab competition. I firmly believe TSMC plans on staying one step ahead in their local factories.

The problem of replicating the really high end of these fabs is that it can't really be replicated. The US, South Korea, Europe China and everyone else have been trying really hard to replicate TSMC's success.

But even with a lot of skilled engineers, they can't because a lot of TSMC's success relies on pure skill and a huge experience gap wit their workers.

 

[Whippy McGee]

California should be shitting itself as Arizona ramps up in technology. It will mean Arizona will need more of that fine electricity it generates at Palo Verde Nuclear Station. Instead of that energy being shipped to California to meet a big shortfall, it may stay in Arizona to power new business... and California will go dark.

Great on Arizona. They have abundant power, so they are a great fit for this type of growth. It's good to bring that technology back to the U.S.