AMD Chairman and CEO Lisa Su unveiled the company’s latest AI chip, MI325X, at the opening of Computex Taipei on June 3. She emphasized that the MI325X boasts 30% faster computing speed compared to NVIDIA’s H200. According to a report from CNA, Su also announced that AMD plans to release a new generation of AI chips each respective year, hinting at a strong competitive stance against NVIDIA.

Lisa Su announced that the MI300 series is AMD’s fastest progressing product. The tech giant’s next-generation AI chip, MI325X, features HBM3e and is built on the CDNA 3 architecture.

According to Su, AMD MI325X outperforms NVIDIA’s H200 in performance and bandwidth, more than twice than that of NVIDIA’s H200. On the other hand, MI325X delivers 30% faster computing speed compared to the H200.

Furthermore, Su also announced that AMD will release MI350 in 2025, which will be manufactured with 3nm process, while MI400 is expected to follow, launched in 2026.

On June 3, Lisa Su stated that AMD will continue its collaboration with TSMC, advancing process technology to the 3nm and even 2nm nodes. Yet, Su did not directly address the previous market rumors suggesting that AMD might switch to Samsung’s 3nm technology.

Previously, as per a report on May 29th from The Korea Economic Daily, it has speculated that AMD is likely to become a customer of Samsung Electronics’ 3nm GAA process. Reportedly, during AMD CEO Lisa Su’s appearance at the 2024 ITF World, which was hosted by the Belgian microelectronics research center imec, Su revealed that AMD plans to use the 3nm GAA process for mass-producing next-generation chips.

Per the same report, Lisa Su stated that 3nm GAA transistors can enhance efficiency and performance, with improvements in packaging and interconnect technology. This will make AMD products more cost-effective and power-efficient. The report further addressed that, as Samsung is currently the only chip manufacturer with commercialized 3nm GAA process technology, Su’s comments were interpreted as indicating that AMD will officially collaborate with Samsung for 3nm production.

Read more

• [News] South Korean Media Suggests AMD Could Become Samsung’s 3nm GAA Process Customer
• [News] Samsung Reportedly Signs USD 3 Billion HBM3e Deal with AMD

(Photo credit: AMD)

In the past two years, the semiconductor industry has experienced a market downturn, a recovery slower than expected, and a cash crunch. Major companies such as Intel, TSMC, and Samsung, while continuing to advance their expansion projects, have been constantly adjusting and slowing down the pace and schedule of their fab construction to better serve their long-term development goals. It’s found that seven fabs worldwide are projected to delay construction.

• Intel’s 1nm Chip Plant in Germany and Ohio Plant in the US Delay Construction

According to a report from global media outlet Volksstimme, the construction of Intel’s Fab 29.1 and Fab 29.2 near Magdeburg, Germany, has been postponed due to pending approval of EU subsidies and the need to remove and reuse black soil. The date of commencement has been pushed from summer 2024 to May 2025.

Earlier reports indicated that the construction of this chip planr was initially expected to begin in 1H23, but due to subsidy delays, construction was put off to summer 2024. Moreover, the topsoil at the construction site cannot be cleared until May 2025 at the earliest.

It is reported that Intel’s Fab 29.1 and Fab 29.2 were originally scheduled to start operations by late 2027 and were expected to employ advanced manufacturing processes, potentially Intel 14A (1.4nm) and Intel 10A (1nm) process nodes. However, Intel now estimates that it will take four to five years to build these two plants, and production is expected to commence between 2029 and 2030.

• Samsung’s Chip Plant in Pyeongtaek, South Korea and Fab in Taylor, US Delay Construction

In February 2024, Samsung revealed that it had partially halted the construction of its fifth semiconductor plant in Pyeongtaek, Gyeonggi Province. Samsung originally planned to build six semiconductor plants on an 855,000 square meter site in Pyeongtaek, creating the world’s largest semiconductor hub. Currently, the P1, P2, and P3 plants at the Pyeongtaek park house the most advanced DRAM, NAND flash memory, and foundry production lines, while the P4 and P5 plants are under construction.

Samsung stated that the halt was for further inspection. However, industry sources have revealed that Samsung’s adjustment of the new production lines for P4 and P5 fabs is to prioritize the construction of the PH2 production line at P4 fab. It is reported that P4 plant might build PH3 production line to produce high-end DRAM to meet market demands.

Besides, South Korean media Businesskorea also revealed Samsung has postponed the mass production timeline of the fab in Taylor, Texas, US from late 2024 to 2026, which is possibly due to a slowdown in the wafer foundry market growth, and the delay was attributed to U.S. government subsidies and issues related to the complexities in gaining permits.

• TSMC Postponed the Production of Two Plants in Arizona, US

On April 9, TSMC announced the plan to build a third fab in Arizona. Once completed, this fab will use 2nm process or even more advanced technologies to manufacture wafers for customers. With this addition, TSMC’s total capital expenditure in Phoenix, Arizona, will exceed USD 65 billion.

Meanwhile, TSMC disclosed that their first fab in Arizona will start production in 1H25, using 4nm process. The second fab, initially announced to use 3nm process, will also incorporate the more advanced 2nm process, with mass production set to begin in 2028. This fab was announced in December 2020, which was originally scheduled to start mass production using 3nm process in 2026, primarily, but the latest schedule represents a delay of nearly two years from the original one.

As to the third fab planned to set up in Arizona, TSMC has not yet disclosed the date for construction. However, they mentioned that it will use 2nm process or more advanced ones, with production expected to commence in the late 2030s.

• Wolfspeed’s 8-Inch SiC Fab might Delay Construction to 2025

Wolfspeed’s 8-inch SiC fab in Ensdorf, Saarland planned to invest about EUR 2.75 billion, but the construction has been postponed. The project has already secured subsidies of EUR 360 million from the German federal government and EUR155 million from the Saarland government. In addition, Wolfspeed is also seeking financial assistance from the European Chips Act. ZF will provide Wolfspeed with several hundred million dollars of financial investment in exchange for a minority stake in the plant.

Industry sources indicate that Wolfspeed aims to secure more funding before the groundbreaking ceremony. If it fails to gain financial assistance from the European Chips Act, the project is very likely to be delayed. The plant was initially scheduled to start construction in summer 2024, but Wolfspeed CEO Gregg Lowe revealed that it might now begin in 2025.

Read more

• [News] Intel’s 1nm-class Fabs in Germany Reportedly Delayed Due to Black Soil Concerns and Pending EU Subsidy Approval
• [News] TSMC’s Nanjing Plant Reportedly Pushes for Indefinite Exemption From US Before the May 31 Deadline
  

(Photo credit: TSMC)

On May 30th, Taiwanese Minister of Ministry of Economic Affairs, J.W. Kuo, proposed a crucial industry policy. According to a report from China Times, the first step is to take Taiwan’s manufacturing parks global, with the initial site planned for Kyushu, in conjunction with TSMC’s Kumamoto fab, to create a semiconductor industrial park.

Additionally, the ministry reportedly plans to invite the world’s top 100 companies to set up sales offices in Taiwan as well as offering tax incentives, to attract around 400 million consumers from Japan, South Korea, the Philippines, Vietnam, and other regions.

Kuo further emphasized the importance of the government’s proactive stance on taking small and medium-sized enterprises (SMEs) and their supply chains overseas. The Ministry of Economic Affairs is said to be planning to utilize state-owned enterprises or establish a development service company to help eliminate obstacles to overseas investment. Meanwhile, it also plans to establish an overseas one-stop service window to expedite the setup of plants by companies.

He then pointed out that TSMC already has two fabs in Kumamoto, Japan. The plan, as per the same report, is to set up a semiconductor industrial park in Kyushu, bringing Taiwan’s supply chain to Japan. This park will not only serve TSMC but also local Japanese companies.

Looking ahead, the industrial parks will primarily follow TSMC, expanding to Japan, the USA, and Germany, with plans to relocate 10 to 15% of the supply chain capacity.

Kuo expressed the vision of considering Japan, South Korea, the Philippines, and Vietnam, all within a three-hour flight radius, as Taiwan’s domestic market. Additionally, within four years, the goal is to attract 500 Michelin-starred restaurants, along with popular performances and medical beauty services, to draw consumers from neighboring Asian countries to Taiwan.

Read more

• [News] Export Crisis Averted, TSMC’s Nanjing Plant Reportedly Granted Indefinite Exemption
• [Insights] Trendforce: Foundry Capacity Market Share of Advanced Process to Decline in Taiwan, Korea until 2027, While US on the Rise
  

(Photo credit: TSMC)

Intel has reportedly delayed its construction of Fab 29.1 and 29.2 in Magdeburg, Germany, as the new timeline now pushes the start of construction to May 2025, according to a report by tom’s Hardware, citing German media outlet Volksstimme.

However, the fabs could still become operational by late 2027 or early 2028 if the semiconductor giant expedites construction and tool installation, the report stated. The current scenario does seem challenging though, as the company has to deal with black soil removal issues and delays in subsidy approvals.

In June 2023, Intel reached an agreement with Germany, announcing the signing of an amended investment memorandum. The plan involves investing over EUR 30 billion to construct two new fabs in Magdeburg, of which the German federal government has agreed to provide a subsidy of EUR 10 billion, including incentives and subsidies from the European Chips Act and government initiatives.

Originally, construction was scheduled to begin in the first half of 2023 but was postponed to summer 2024 due to delays in subsidy approvals. Until recently, the EU Competition Authority has not yet approved the around EUR 10 billion subsidy.

The topsoil removal process, as required by law, thus, has been rescheduled to May 2025. In the meantime, Intel and the state are adjusting plans, focusing on infrastructure development and land acquisition to prepare for the delayed construction, according to the aforementioned reports.

Fab 29.1 and Fab 29.2 were initially planned to begin operations in late 2027, utilizing Intel’s 14A (1.4nm) and 10A (1nm) process nodes for specific products on Intel’s roadmap, the reports noted. Although Intel has some time to ramp up the fab even if it becomes ready by mid-2028, the schedule remains tight.

The report from Volksstimme even indicated that Intel now estimates it will take four to five years to build the two factories, with production potentially starting in 2029 or 2030.

On the other hand, regarding major semiconductor companies’ overseas expansion progress in Germany, in mid-May, TSMC confirmed that it will start construction of its first chip plant in Europe in Dresden, eastern Germany, in the fourth quarter of this year, with production expected to begin in 2027.

It is understood that TSMC’s fab in Germany will initially focus on the 22-nanometer process, mainly producing automotive microcontrollers. There is a possibility of expanding to produce more advanced chips in the future.

Read more

• [News] Intel Submits Conceptual Drawings for Fab Construction in Germany, Installing High-NA EUV Exposure Machines
• [News] TSMC Confirms Construction for Its First European Chip Plant to Commence in Q4, as Scheduled

(Photo credit: Intel)

Samsung’ Foundry Business Division is set to host a Foundry and SAFE Forum in Silicon Valley, U.S., on June 12-13. According to Business Korea, the tech giant would reveal its latest technology roadmap, reportedly moving up its 1nm mass production schedule from 2027 to 2026.

Samsung’s SF1.4 process, which is said to compete with TSMC’s 1.4nm, originally targets to start mass production in 2027. Now the company seems to make an update and move the schedule ahead.

As per Samsung’s previous roadmap, the 2-nanometer SF2 process is set to debut in 2025. Compared to the second-generation 3GAP process at 3 nanometers, it offers a 25% improvement in power efficiency at the same frequency and complexity, as well as a 12% performance boost at the same power consumption and complexity, while reducing chip area by 5%.

In a previous report, Business Korea noted that Samsung had already secured the first batch of orders for 2nm AI chips, which goes to Japanese AI startup Preferred Networks.

On the other hand, TSMC, the leading semiconductor foundry, has also reportedly secured its 2nm order, as its 2nm process in on track for mass production in 2025.

Industry sources indicated that Apple’s Chief Operating Officer, Jeff Williams, made a visit to TSMC in May to secure the latter’s advanced manufacturing capacity, potentially 2nm process, booked for Apple’s in-house AI-chips, according to a report by Economic Daily News.

TSMC plans to reach the A16 node (1.6nm) in 2027. According to a previous report by TechNews, citing foreign media, TSMC is expected to start mass production for 1.4nm around 2027-2028. Recent reports from Economic Daily News indicated that TSMC intends to establish a factory in the Science Park of Taibao City, Chiayi County in central Taiwan to produce 1nm chips.

▲The advanced technology roadmap of TSMC, as shown in the 2024 Technology Symposium (Source: TSMC)

(Photo credit: Samsung)