According to reports from Taiwanese media, TSMC, the largest contract manufacturer of semiconductors, is anticipating a significant boost in the production of microcircuits using advanced 3-nanometer technology this year. It is projected that the 3-nanometer node will contribute to 20% or more of TSMC’s total revenue.
The 3-nanometer process was implemented by TSMC for commercial use towards the end of 2022. Initially, the sole customer for the 3-nanometer products was Apple, who utilized them in the production of A17 processors for the iPhone 15 Pro, iPhone 15 Pro Max, and MacBook laptops using a modified version of N3B.
By the fourth quarter of 2022, the new 3-nanometer node accounted for approximately 15% of TSMC’s total income. The company, however, foresees a further increase in production in this high-tech sector with the addition of new major clients.
Apart from Apple, AMD and Intel are set to be key clients for TSMC’s 3-nanometer products in 2023. AMD’s roadmap for 2022 suggests that the upcoming high-performance Zen 5 processors for desktops and servers will be manufactured using TSMC’s 3-nanometer process. Additionally, some less demanding APUs from the Zen 5 series may be produced using the 4-nanometer technology.
Intel is also planning similar moves, intending to utilize TSMC’s 3-nanometer capacities for its discrete Battlemage graphics processors, integrated CPU versions, and computing cores for the Meteor Lake and Arrow Lake processors. Intel has yet to officially confirm these decisions, however.
With TSMC’s transition to the next 2-nanometer process not scheduled until 2025, the N3 technology will remain the company’s most advanced for the next couple of years, making it a competitive advantage in securing orders from top developers.
Through expanded partnerships with Apple, AMD, and Intel, TSMC aims not only to increase production line efficiency but also to lower the cost of chip production through economies of scale.