The world’s number one contract semiconductor manufacturer TSMC is eyeing to expand its presence among multiple countries including the US, other Asian countries like Japan.
Well, this rumour of setting up a chip plant in one of the most technologically advanced countries ought to become as Reuters have reported Taiwan Semiconductor Manufacturing Co Ltd has received approval to set up a chip plant in Japan.
The fact has been confirmed by Taiwan’s investment commission of the ministry of economic affairs that approved the investment. Previously, TSMC declared it would make a $7 billion chip plant in Japan with a partnership with Sony Group.
“The technology that will be used in TSMC’s new plant in Japan is lagging behind what has been applied in Taiwan for at least one generation or more. There should be no doubts about high-end technology outflow,” said the investment commission in the statement.
We do not exactly know which type of fab or process will be made at this Japan chip plant, however, even though it might not produce the latest fabs but still from an economical standpoint, Japan is a very suitable place for TSMC to invest.
As Reuters pointed out, Taiwan could become the frontrunner to end this never-ending chip shortage that has even hurt automotive production to consumer electronics. The supplier of Apple is keen to take advantage of the shortage and increase its lead by setting up this new plant in Japan or even its upcoming plant in Arizona.