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Taiwan’s TSMC faces chip tool delivery issues

Delayed deliveries affecting production of cutting-edge, legacy chips

TSMC. (Reuters photo)

TSMC. (Reuters photo)

TAIPEI (Taiwan News) — Taiwan Semiconductor Manufacturing Co. (TSMC) said on Thursday (April 14) that it is facing semiconductor equipment delivery issues.

“We have been seeing this kind of tool delivery problem unexpectedly from the beginning of this year,” Nikkei cited TSMC CEO C.C. Wei (魏哲家) as saying during a Thursday earnings call. Wei added the company’s expansion plans for this year are not affected and they are working on 2023 and beyond, the report said.

Wei also said the company was not ready to disclose how far they have come in addressing the tool issue. Wei said TSMC’s equipment suppliers are also dealing with difficulties due to COVID’s effect on chip and component supplies.

“We have increased regular high-level communications (with suppliers) to track their progress. We have sent several teams on-site to support our suppliers and are working closely with them to identify critical chips that are affecting the tool delivery,” Nikkei cited Wei as saying.

The extended delivery times are influencing equipment used for cutting-edge and older process chips, Wei also said.