Apple’s Chipmaker TSMC Announces Plan to Build Arizona Factory

Apple’s chipmaking partner TSMC today announced its intention to build and operate an advanced semiconductor factory in Arizona, with construction planned to start in 2021 and production targeted to begin in 2024.

The facility will be able to manufacture around 20,000 chips per month using TSMC’s latest 5-nanometer fabrication process. TSMC has been gradually shrinking the size of its dies over the years, going from a 16nm A10 chip in iPhone 7 models to a 7nm A13 chip in iPhone 11 models. iPhone 12 models are expected to use a 5nm A14 chip.

TSMC estimates that its total spending on this project, including capital expenditure, will be approximately $12 billion from 2021 to 2029, with the facility expected to create over 1,600 high-tech professional jobs directly.

TSMC already operates a factory in Camas, Washington and design centers in both Austin, Texas and San Jose, California, so the Arizona facility would be its second manufacturing site in the United States. The company’s main factories are in Taiwan.