According to a report from TechNews, in response to the temporary power outage caused by a severe thunderstorm on the afternoon of August 13th, memory manufacturer Nanya Technology announced on the evening of August 14th that the outage led to a halt in some machinery operations.

As emergency measures and safety checks were immediately implemented, all of Nanya Technology’s employees are safe, and the company is working to restore operations, which are expected to resume within 2-3 days.

Still, the power outage had led to damage to wafers, equipment repairs, and production interruptions, with an estimated loss of NTD 300-500 million (roughly USD 9.3 – 15.5 million). The exact figure will be confirmed after further assessment.

On the day of the power outage on August 13th, TechNews already reported that Nanya Technology’s plant experienced a 20-minute power outage during the incident. The uninterruptible power supply (UPS) was activated, minimizing damage in the photolithography and etching areas. However, sites without UPS are still being assessed for potential impacts.

On the other hand, memory giant Micron only experienced a voltage sag and reported no significant issues. Micron further stated that the voltage sag at its Taiwan facility due to the August 13th incident did not cause any harm to employees, and operations remain normal.

Read more

• [News] Taiwan Faces Temporary Power Outage in Certain Areas, while Rumors Hint at Potential Impact on Micron Equipment
• [News] Nanya Technology Chairman Names 10nm 1B Process as Key Expansion Focus for the Year

(Photo credit: Nanya Technology)

According to industry sources cited in a report from TechNews, a temporary power outage occurred in certain areas in northern Taiwan (Linkou, Taishan, Xinzhuang) at 1:35 PM on August 13.

Addressing the matter, DRAM manufacturer Nanya Technology is currently assessing the damage, while Micron, on the other hand, has experienced voltage sag and reports no issues at this time. Still, some rumors have suggested that parts of Micron’s dry etching and wet process equipment has been affected.

Industry sources cited by TechNews mentioned that Nanya Technology’s plant experienced a power outage lasting about 20 minutes but activated its Uninterruptible Power Supply (UPS) system. The photolithography and etching areas are expected to be minimally affected, but the non-UPS sites are still under assessment.

Currently, Nanya Technology is still confirming the extent of the damage.

According to an industry assessment cited by TechNews, the impact of this power outage on Nanya Technology is limited, with existing inventory, the production lines can continue to supply products.

Read more

• [News] HBM Supply Shortage Prompts Micron’s Expansion, Expected Schedule in Japan and Taiwan Revealed
• [News] Nanya Technology Chairman Names 10nm 1B Process as Key Expansion Focus for the Year

(Photo credit: Micron)

According to sources cited in a report from Commercial Times, in response to the global increase in chip orders and rapid AI development, TSMC is actively seeking available land to keep its most advanced process technologies in Taiwan.

Currently, TSMC has already planned three 2nm fabs at the Nanzih Technology Industrial Park in Kaohsiung, southern Taiwan.

Regarding the need for additional land to accommodate facilities for more advanced nodes beyond 2nm, the report notes that the Kaohsiung City Government has been proactively preparing by evaluating land availability, as well as water and electricity supply, for TSMC’s next-generation advanced technology production, specifically targeting the A14 (14 angstrom) process.

Yet, regarding the matter, TSMC has remained discreet and declined to comment on market rumors regarding the progress of expansion.

Reportedly, the Nanzih Park site has the capacity to accommodate up to five fabs for TSMC, and there are rumors that its fourth and fifth fabs are likely to focus on A14 process, although TSMC has yet to confirm this.

TSMC’s first 2nm process fab in Nanzih is expected to begin mass production in 2025. Per sources cited by the report, the node will be used in high-performance computing (HPC), smartphones, electric vehicles, and autonomous driving applications.

Earlier, concerns were raised about the progress of TSMC’s CoWoS advanced packaging plant due to the discovery of cultural heritage sites at the Chiayi Science Park.

However, sources cited by Commercial Times have pointed out that while there have been some delays due to cultural heritage issues, TSMC’s adjustment plan has been approved. The company will adjust its working procedures in order to proceed with construction according to the original schedule, with no changes to the completion timeline.

Read more

• [News] Samsung Expected to Unveil its 1nm Plan in June, Advancing it to 2026
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(Photo credit: TSMC)

According to a report from Korea media outlet Yonhap News Agency, South Korea’s memory export to Taiwan has surged by 225% in the first half of the year.

The primary driver of this increase is reportedly due to South Korean chipmaker SK hynix’s supply of HBM to U.S. AI chip giant NVIDIA, which packages its AI accelerators at Taiwan’s TSMC.

A researcher at the Korea Institutes for Industrial Economics & Trade, Kim Yang-paeng, also noted that the sharp increase in exports is likely related to SK hynix’s supplies for TSMC’s final packaging of AI accelerators.

The report from Economic Daily News further highlights the strong momentum in NVIDIA’s AI chip shipments, with TSMC, as the key manufacturing partner, receiving steady advanced process orders.

The report from Yonhap News Agency also cited data from the industry ministry and the Korea International Trade Association released on August 11th, showing that South Korea’s memory exports to Taiwan in the first half of the year grew by 225.7% year-on-year, reaching USD 4.26 billion.

This growth significantly outpaces the overall increase in South Korea’s memory exports, which was 88.7%. Additionally, Taiwan has become South Korea’s third-largest market for memory exports in the first half of the year, climbing two spots to surpass Vietnam and the United States.

Another Korean media outlet, The Korea Herald, noted that since the 2010s, South Korea’s annual memory exports to Taiwan have ranged between USD 1 billion and 4 billion. The latest data indicates that this year’s export volume may set a new record, potentially reaching USD 8 billion.

Read more

• [News] SK hynix CEO: Demand for Memory Chips to Remain Robust until 1H25, Driven by HBM
• [News] Samsung’s 8-layer HBM3e to Start Mass Production in Q3, Driving HBM Sales to Soar 3-5 Times in 2H24

(Photo credit: SK hynix)

Despite recent issues with NVIDIA’s GB200 shipments, the market remains optimistic about long-term AI demand, and CoWoS capacity continues to be in short supply.

According to a report from MoneyDJ, TSMC will assign orders of the initial stage of chip stacking in CoWoS packaging, Chip on Wafer (CoW), for the first time, to semiconductor assembly and test service provider SPIL.

The process will reportedly to manufactured at SPIL’s Zhong Ke Facility in Taichung. The company is said to build new capacity, with tool-in expected in the second quarter of 2025 and production ramping up in the third quarter.

TSMC President C.C. Wei previously disclosed that this year’s CoWoS capacity will more than double, with the growth trajectory similar in 2025. The company will continue to collaborate with OSATs to advance their packaging capabilities, Wei said.

Tien Wu, COO of another major outsourced semiconductor assembly & test services (OSAT) company ASE, also mentioned at its recent earnings call that the company has been co-developing both oS and CoW processes with their foundry partners for many years.

In fact, CoWoS is already a well-established technology. TSMC has been outsourcing the WoS (Wafer-on-Substrate) process, targeting small-batch, high-performance chips, while retaining the high-margin, high-tech CoW process in-house.

Lower-margin oS processes are handed over to packaging and testing companies. During the initial phase of this expansion wave, TSMC did not release CoW orders, but due to the overwhelming demand, they now have to outsource part of the process.

Industry sources cited by MoneyDJ further reveal that even Chinese companies have been excluded from the list, there are still several OSATs capable of handling TSMC’s outsourced CoWoS processes, such as Amkor, ASE, and SPIL.

After evaluation, SPIL’s plant in Central Taiwan was selected. It is reported that SPIL already collaborates with NVIDIA and AMD in the advanced packaging field, possessing capabilities not only for CoWoS-S but also for the higher-end CoWoS-L. This makes SPIL a strong second supplier for these major American companies.

Reportedly, TSMC will release the first phase of CoWoS-S orders to SPIL. Currently, SPIL’s CoWoS-related capacity is about 40,000 to 50,000 wafers per year. They plan to tool-in at the plant in Central Taiwan Science Park around the second quarter of next year.

It’s estimated by MoneyDJ’s report that TSMC’s CoWoS capacity remains in short supply, at 35,000 to 40,000 wafers per month this year. With the additional outsourced capacity, next year’s production could reach over 65,000 wafers per month, or possibly higher.

Read more

• [News] TSMC Rumored to Build New CoWoS Plant in Southern Taiwan
• [News] CoWoS Booming, TSMC Price Hikes Reportedly Imminent

(Photo credit: TSMC)