TAIPEI (Taiwan News) — The first chip facility to be built in Japan by Taiwan Semiconductor Manufacturing Co. (TSMC) is reportedly expected to be up and running by 2023.
According to sources who spoke to Nikkei, the construction of the planned fab in Kumamoto will proceed in two phases. TSMC’s board is anticipated to make the final decision on the Japan expansion during this quarter, the report said.
The Japanese fab is expected to use TSMC’s 28 nm process and will have a production capacity of 40,000 wafers per month. While not the most advanced chips, 28 nm chips are still used in automotive microcontroller units, image processors, and consumer electronics.
Nikkei reported that the chip plant will primarily be used to manufacture image sensors for Sony, TSMC’s biggest Japanese customer. TSMC’s final decision on the facility could still be affected by several factors, including incentives from the Japanese government, commitments by Japanese suppliers to build chip-related infrastructure, and the development of supply chains, sources told the outlet.