From the second half of 2025, tech giant Apple will begin purchasing chips manufactured in the United States. These chips will be produced by Taiwan Semiconductor Manufacturing Company (TSMC) at their new fabrication plant in Phoenix, Arizona, using 4-nanometer technology, according to PhoneArena.
TSMC began constructing the facility in Arizona in 2021, with production set to commence next year. This development is expected to add a new dimension to the U.S. semiconductor industry. However, chip production costs in the U.S. are approximately 30% higher than in Taiwan, which could lead to increased prices for TSMC’s customers.
In the initial phase, TSMC plans to produce approximately 20,000 wafers per month. Customers for these chips will include Apple, Nvidia, AMD, and Qualcomm. In 2028, TSMC intends to begin producing 2-nanometer chips in the U.S.; however, the Taiwanese government last month imposed restrictions on manufacturing such advanced technology outside Taiwan.
Meanwhile, Taiwan-based fabs will commence production of 2-nanometer chips next year, with plans to produce 1.6-nanometer chips by 2028. Smaller chip process technologies reduce transistor sizes, enhancing energy efficiency and processing power.
While TSMC’s initiative is set to bolster the U.S. semiconductor industry, the higher production costs may pose challenges for maintaining competitiveness.
