Taiwan Semiconductor Manufacturing Company (TSMC) is reportedly in talks with the Singapore government over plans to open a plant in the country.
TSMC is known for making Apple’s A-series and M-series chips, as well as AMD processors, but the tech giant also produces chips for display drivers and power management, which are in short supply due to COVID-limited supply. 19-Related Lockdowns. Apple has already spent $ 6 billion in the last two quarters due to these supply constraints, and that amount could reach $ 8 billion.
According to Wall Street Journal According to the report, the Singapore plant will theoretically help overcome this shortage by manufacturing these complex chips. According to reported sources, TSMC is studying how production lines are possible to make seven to 28 nanometer chips. It is based on old production technology already in use by cars, smartphones and other devices.
The new plant is still under negotiation and is not yet finalized.
Analysis: Why move?
TSMC has other reasons to want a new factory in another country. The first is that it is easier to work around China, which has at least a more complex relationship with China and to prevent more chip production in a single country.
The company is also interested in building six plants in the US, but the plan has hit several snags a year since it was first announced. Opening a plant in Singapore will further facilitate global diversification, while at the same time avoiding what TSMC founder Morris Chang claims is a shortage of manufacturing talent in the US and the high cost of chip production.
Quanta Computer, the sole supplier of high-end MacBook Pro models, is also looking at moving the product from Shanghai to the Chongqing factory to help relieve supply restrictions, so TSMC is not the only Apple supplier looking to expand its product. In response to the supply chain crisis.