[News] Latest Progress on Three Semiconductor Fabs

---

---

Leading foundries have been making significant moves, reshaping the semiconductor industry landscape. Vanguard International Semiconductor Corporationrecently announced its entry into the 12-inch wafer foundry business, marking the beginning of a new phase in its strategic transformation for the next 30 years, with silicon carbide (SiC) also included in its development plan.

Meanwhile, India’s first 12-inch wafer plant has begun operations, with the Indian government approving five semiconductor plant construction projects valued at approximately USD18 billion. Additionally, TSMC’s world-first 2nm wafer plant is set for completion by the end of this month. Industry sources indicate that AI-related demand is expected to surge, further boosting TSMC’s profitability.

Vanguard International Semiconductor Corporation Enters 12-Inch Wafer Foundry Market, Aiming for TWD 100 Billion in Annual Revenue in Five Years

On November 2, Vanguard Chairman Mr. Leuh Fang announced that the company officially entered the 12-inch wafer foundry sector and is building a new plant. Both the company and stakeholders have high hopes for the plan, aiming for annual revenue to grow from TWD 50 billion to TWD 100 billion in five years once the new plant reaches full capacity. Fang emphasized that Vanguard announced a USD 7.8 billion investment in collaboration with NXP Semiconductor to build a 12-inch wafer fab, with TSMC providing all necessary critical technology and resources.

On June 5, Vanguard and NXP jointly announced plans to construct a 12-inch wafer fab in Singapore with a total investment of USD 7.8 billion. The fab will employ 130nm to 40nm technology and produce mixed-signal, power management, and analog products for automotive, industrial, consumer electronics, and mobile device markets.

India’s First 12-Inch Wafer Plant Begins Operations

On November 1, Powerchip Semiconductor Manufacturing Corporation (PSMC) announced the official launch of its joint project with Tata Electronics to construct India’s first 12-inch wafer fab. PSMC has received the first payment for Fab IP from Tata, and the construction project will proceed actively. Meanwhile, high-capacity interposer chips, validated by customers, will also begin mass production and delivery.

This 12-inch fab, with a total investment of USD 11 billion, will focus on power management ICs, panel driver chips, microcontrollers, and high-speed computing logic chips. It is projected to have a monthly capacity of 50,000 wafers, primarily serving automotive, computing, data storage, wireless communication, and AI applications. The plant is scheduled for completion and mass production by 2026.

World’s First 2nm Wafer Plant Nears Completion by End of Month

According to recent supply chain news, TSMC’s Kaohsiung P1 site for its first 2nm wafer fab is nearing completion, with a ceremony planned for November 26 and equipment installation set to begin on December 1.

TSMC’s 2nm production will take place at its Hsinchu Science Park (HSP) Baoshan F20 fab and Kaohsiung Nanzi F22 fab. The Baoshan fab is expected to complete a mini production line by the end of the year, targeting volume production by Q4 2025 with a monthly capacity of around 30,000 wafers. Commercial production at the Kaohsiung F22 fab will commence in Q1 2026, also with a monthly capacity of 30,000 wafers.

TSMC’s Chairman and CEO C.C. Wei have highlighted unprecedented demand for the 2nm process. Current planned capacity for the 2nm process has already surpassed that of the previous 3nm generation, underscoring the strong market demand for advanced process technology. Reportedly, TSMC has validated its 2nm product roadmap with customers, with process quotes exceeding USD 30,000 per wafer.

(Photo credit: Vanguard)