As leading chip manufacturers Samsung and TSMC charge ahead with 2nm fabrication plans, reports indicate both companies intend to keep their most advanced manufacturing efforts centralized in South Korea and Taiwan respectively.
Samsung has gone as far as announcing a massive new semiconductor “mega-cluster” being developed near Seoul. The 500 trillion won project, consisting of 13 plants and 3 research centers, is scheduled to begin 2nm production next year.
Similarly, TSMC seeks to build new 2nm capable facilities in Hsinchu, Kaohsiung, and Taichung. Approval for the latter site in Taichung remains pending.
ALSO READ: Android Auto facing issues when used with Galaxy S24 in some cars
Expansion Efforts Stymied Abroad
Attempts to diversify production capacity abroad, however, have met roadblocks. Samsung’s $17 billion Texas plant has faced delays in reaching 4nm production. TSMC’s planned Arizona factories still remain under construction, with timelines shifted for initially reaching 4nm and 3nm nodes.
Reports cite factors ranging from lagging government subsidies to talent acquisition struggles and rising costs. Analysts estimate building advanced fabs in the US can cost 40% more compared to Taiwan.
With substantial investments and ideal conditions concentrated at headquarters, Samsung and TSMC seem inclined to retain their 2nm manufacturing crown jewels closer to home for the foreseeable future.
Global Trends May Force Rethinking
Whether geopolitical pressures or competitive forces eventually necessitate decentralizing the leading edge remains to be seen. For now, the companies appear content to keep their most precious 2nm secrets and operations within their own borders. Stay tuned to see if future strategies shift in response to external factors.