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TSMC cannot fully meet Apple’s demand for 3nm chips

TSMC’s 3nm chip production is in a good state, we expect Apple’s A17 and M3 chips to be made with this process. Now some analysts have announced that the Taiwanese chipmaker giant is not able to respond to the high volume of Apple’s demand for the production of 3nm system-on-chips.

TSMC says the production efficiency of 3nm chips is not yet good enough to handle the processors needed for the iPhone 15 Pro.

The Taiwan Semiconductor Manufacturing Company has been the market leader in the field of chip production with modern technologies for many years. As the system-on-chips process becomes newer, the number of transistors that can be placed on a given surface will increase. Thus, by increasing the number of transistors, the processing power increases.

TSMC’s latest 3nm technology for making chips is called N3. Samsung is usually a year behind its Taiwanese competitor in the field of system-on-chip manufacturing technologies, and Intel is years away from this lithography.

We expect TSMC’s 3nm process to be used to make Apple’s A17 chip; The processor that will act as the beating heart of the iPhone 15 Pro. This is while it is said that the non-pro iPhone 15 models will be released with the A16 chip. In addition, the M3 chip of future Macs is also expected to be produced with TSMC’s 3nm process.

CCVThe CEO of TSMC has announced that his company currently does not have the ability to fully meet Apple’s demand for the production of 3nm chips. Of course, the Taiwanese chipmaker is trying to solve this challenge. According to some analysts, problems related to TSMC’s 3nm process efficiency are the main obstacle to increasing the production volume of system-on-chips required by Apple.

“Our 3nm technology is the semiconductor industry’s first state-of-the-art lithography, which enables the production of new chips at high volumes and good yields,” said TSMC CEO. “As our customers’ demand for 3nm system-on-chips exceeds our ability to supply these processors, we expect all of our N3 production lines to be used in 2023 to meet these needs.”

9to5Mac Chips are produced in wafers, he writes, and Apple typically pays TSMC a per-wafer fee. Of course, since only half of the system-on-chips available on each wafer are currently usable, the iPhone maker only pays for the production of healthy chips.

Although the 55% yield for TSMC’s 3nm chip production seems very low, the company is said to be still completing mass production lines for its new process.

The next important step in the semiconductor industry will be chip manufacturing with a 2nm process. The first chips with this technology are expected to be produced in 2025, and the iPhone 17 will likely be one of the first devices to launch with these processors.


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