According to recent information released by some investment banks, it’s confirmed that Taiwan Semiconductor Manufacturing Company’s (TSMC) advanced 3nm chip manufacturing process is right on track for mass production which will commence next year.
The plans of TSMC to manufacture its 3nm process nodes for mass production came to light when the chip manufacturer shared its revenue for July earlier this month. During that time, the company outlined a 17.5% annual growth but a 16% sequential drop, this resulted in its advanced depository receipts trading on the New York Stock Exchange to slightly drop for June.
Recently, investment banks Morgan Stanley and Citigroup released a research report, in which they provided details about TSMC’s margins for the second half of this year and also shed light on their expectations for the company’s mass production timelines for its first and second-generation 3nm semiconductor processes.
According to Citigroup and Morgan Stanley, the first-generation 3nm manufacturing process by TSMC is on track for mass production in the second half of next year. This stays true to the official timeline which TSMC released for its mass production, with the facilities that will use the new technologies currently under construction in Tainan, Taiwan.
Citigroup also stated that the company’s second-generation 3nm process will enter mass production a year after the first generation. It further states that TSMC will be capable of manufacturing its second-generation 3nm process in the second half of 2023.
Currently, the chip manufacturer is mass-producing semiconductors using its 5nm chip process, and its first deliveries will be made to Cupertino based tech giant Apple Inc. The chip makers revenue at the end of the second quarter of 2021 stood at NT$372 billion, giving the company a 20% annual growth.
However, currently, the world is facing a semiconductor crisis and there are also geopolitical tensions between Taiwan and mainland China. All these factors are affecting the business of TSMC, however, the company remains strong.