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The Impact of TSMC Establishing a New Factory in Arizona, USA

  • Report

  • 11 Pages
  • July 2020
  • Region: United States
  • Market Intelligence & Consulting Institute (MIC)
  • ID: 5135534

TSMC expressed its willingness to build a 12-inch wafer fab in Arizona, the United States, on May 15, 2020. The plant is expected to be completed and start mass production in 2024 and produce semiconductor chips on a 5nm process. The initial monthly capacity plan is about 20,000 wafers.

This report analyzes the potential impact of TSMC's establishment of a factory in the United States and examines risks and benefits behind this decision.


Table of Contents


1.Background
2. Current Status of the Foundry Industry in the United States
3.Business Operation Analysis
3.1 Arizona Plant Not Subject to Restrictions from the Taiwan Government
3.2 TSMC Will Likely Produce Semiconductors per U.S. National Security Requirements
3.3 Advanced Packaging Services May Include
4. Risk Analysis
4.1 Labor Costs
4.2 Semiconductor Supply Chain
5. Benefit Analysis
5.1 Higher Opportunity to Secure Orders for U.S. National Defense and Government Applications
5.2 Reducing Costs from Safety Regulations
5.3 Strengthening Cooperation with American Academics and Industry
6. Author's Perspective
6.1 U.S. Fab Help TSMC Diversify Its Global Manufacturing Bases
6.2 Continuing to Develop World-Leading Processes in Taiwan
AppendixList of Companies

Samples

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Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • AMD
  • Applied Materials
  • Broadcom
  • GlobalFoundries
  • Intel
  • KLA
  • LAM
  • Micron
  • NTCU
  • NVidia
  • On Semiconductor
  • Qorvo
  • Qualcomm
  • Samsung
  • Shin-Etsu
  • Skyworks
  • SUMCO
  • TI
  • TSMC
  • Xilinx

Methodology

Primary research with a holistic, cross-domain approach

The exhaustive primary research methods are central to the value that the analyst delivers. A combination of questionnaires and on-site visits to the major manufacturers provides a first view of the latest data and trends. Information is subsequently validated by interviews with the manufacturers' suppliers and customers, covering a holistic industry value chain. This process is backed up by a cross-domain team-based approach, creating an interlaced network across numerous interrelated components and system-level devices to ensure statistical integrity and provide in-depth insight.

Complementing primary research is a running database and secondary research of industry and market information. Dedicated research into the macro-environmental trends shaping the ICT industry also allows the analyst to forecast future development trends and generate foresight perspectives. With more than 20 years of experience and endeavors in research, the methods and methodologies include:

Method

  • Component supplier interviews
  • System supplier interviews
  • User interviews
  • Channel interviews
  • IPO interviews
  • Focus groups
  • Consumer surveys
  • Production databases
  • Financial data
  • Custom databases

Methodology

  • Technology forecasting and assessment
  • Product assessment and selection
  • Product life cycles
  • Added value analysis
  • Market trends
  • Scenario analysis
  • Competitor analysis

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