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TSMC 1.4nm is coming

2025/9/26 17:16:32

According to market reports, TSMC's yield progress in the "A14" process, which is equivalent to 1.4 nanometers, has exceeded expectations. According to the information released by Ray Wang, a semiconductor analyst at The Futurum Group, on social platform X, the "yield performance" of TSMC's A14 process has advanced.  


According to Wang's information, TSMC's A16 process integrates on-chip transistors, super rails (SPR), and innovative backside contact design. Compared to the N2P process, A16's speed is increased by 8-10%, power consumption is reduced by 15-20%, and chip density is increased by about 1.1 times. It is very suitable for high-performance computing (HPC) products that require complex signal transmission and stable power supply.  


In contrast, A14 fully continues the N2 process and is tailored for AI and smartphone applications, featuring an advanced NanoFlex Pro unit architecture.  


Compared with N2, A14 can increase speed by up to 15%, reduce power consumption by up to 30%, increase chip density by more than 20%, bring faster computing speed, higher efficiency, and improve the AI performance of terminal devices.  


The data provided by Wang shows that the development of A14 is progressing smoothly, and its yield performance has exceeded the original schedule.


Recently, the three major science parks of the National Science Council of Taiwan held a "National Science Council Science Park Operation Press Conference in the First Half of 2025" on the 24th. Regarding the progress of TSMC's new 1.4nm plant in Central Taiwan Science Park, Xu Maoxin, director of the Central Taiwan Science Park Administration, confirmed that groundbreaking will be held in the fourth quarter. The latest progress shows that the manufacturer is still planning the start schedule. Due to the introduction of more advanced processes, the original estimated output value of 485.7 billion yuan may reach 500 billion yuan by then, and the number of employees will remain at around 4,500.

Xu Maoxin explained that the land acquisition process for the Phase II expansion of the Central Taiwan Science Park has been completed, with the land delivered to the manufacturer on June 2nd. Public works began in mid-June, and soil and water conservation efforts are underway. Due to the sloped land, a water conservation plan is currently under review. However, the manufacturer has not yet been notified regarding the exact groundbreaking date.

According to TSMC's plan, the Phase II expansion of the Central Taiwan Science Park will include four 1.4nm advanced process fabs, with the first one entering risk trial production in 2027 and mass production in the second half of 2028.

In addition, the first phase of the Baoshan Phase II 2nm fab in the Hsinchu Science Park has been completed, and upon opening, it will create 2,500 jobs. 
TSMC's AP7, P1, and P2 fabs are under construction in the first phase of the Chiayi Campus in the Southern Taiwan Science Park, and P2 and P3 fabs are also under construction in the Nanzi Campus. However, looking at the industry by sector, integrated circuits accounted for 83% of the park's total revenue in the first half of the year, with annual revenue growth of 34.33%. However, optoelectronics, computers and peripherals, communications, precision machinery, biotechnology, and other sectors all accounted for less than 10%. Is the semiconductor industry's share too high?

Wu Chengwen explained that, firstly, Taiwan's semiconductor industry used to rely heavily on foreign countries, but now, wafer fabrication and packaging and testing are increasingly integrated into the local supply chain. In particular, some manufacturers in the three major parks were not previously part of the supply chain. However, the rapid development and high quality of the semiconductor industry have led to the integration of other industries, such as precision machinery and machine tools, into the semiconductor industry, increasing the number of integrated circuit manufacturers.

Another factor, Wu Chengwen analyzed, may be due to changes in industry characteristics and geographic layout. For example, the Ministry of Economic Affairs and some local governments are working to develop other parks. As the semiconductor industry expands, valuable land in the parks is being used by manufacturers to acquire old factories from other industries and invest in advanced packaging. This may also lead to other businesses moving outside the parks due to changes in geographic layout. While many factors have contributed to the growing share of integrated circuits, Wu Chengwen is not concerned about this, as current industry development remains very positive. 
Analysts point out that TSMC's advanced process technology roadmap is clearly laid out through 2030. TSMC will enter mass production of its 2nm (N2) process in the second half of 2025, introducing the GAA semiconductor architecture, marking the largest transition since FinFET. The A16 process will be introduced in the second half of 2026, further improving performance and energy efficiency by approximately 15% to 20%.

TSMC's new 1.4nm fab at the National Taiwan Science Park is scheduled to enter mass production in the second half of 2028, becoming one of the world's most advanced process nodes. TSMC continues to develop even more advanced nodes (such as those below the A10) and expects to extend the benefits of Moore's Law around 2030.

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