It appears that TSMC will continue to expand its presence in America. Under the newly enacted CHIPS and Science Act incentive program, the company is set to receive a whopping $6.6 billion grant.
Additionally, the company is also expected to receive around $5 billion in long-term loans. With this massive collaboration, TSMC is expected to maintain its position as the world’s largest chip manufacturer for some time. Here are the key details about the matter…
TSMC in the spotlight with the investments in America
Under the agreement, TSMC is said to have guaranteed to open a total of three production facilities in the state of Arizona to the American government. The selection of this state is attributed to its relatively low tax policy and cheaper labor compared to others. While the first factory is expected to officially start mass production in 2025, the second factory will come into operation in 2028.
For the third facility, the target year is set as 2023. It is known that this factory will be critically important for the American industry, especially in the production of 2-nanometer chips. These chips, which will be used not only for artificial intelligence but also for military activities, could reshuffle the cards worldwide.
Due to the 7.4 magnitude earthquake that occurred in Taiwan in the past hours, TSMC has shut down some of its factories.
With this latest move, TSMC’s total investment in the country will exceed $65 billion. However, this figure is expected to increase even further in the coming period. We hope that all these developments will ultimately benefit the users.
What do you think about this issue? Do you think TSMC will achieve a good success with this latest investment in America? Who do you think will win the chip wars? You can easily share your answers with us in the comments section below. Your opinions are very valuable to us.
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