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TSMC Finishes Second Arizona Fab, Eyes 30% Chip Price Increase

Published 6 days agoTSM
TSMC Finishes Second Arizona Fab, Eyes 30% Chip Price Increase

TSMC has completed the construction of its second chip factory at its north Phoenix campus ahead of schedule. This new facility is poised to produce chips using 3-nanometer process technology, driven by the increasing demand for AI-related semiconductors. TSMC's timely completion is aimed at rapidly catering to the growing semiconductor needs.


Adding to this development, TSMC is reportedly considering a significant price hike of up to 30% for its 4nm chip production at the Arizona plant. The potential increase in pricing may be attributed to escalating production costs and mounting demand pressures. According to Insider Monkey, this move reflects broader trends within the high-tech manufacturing sector exerting influence on pricing structures.


Despite global challenges, including U.S. tariff policies and U.S.-China tensions impacting the semiconductor landscape, TSMC maintains a positive sales forecast for 2025, anticipating a 24-26% year-over-year growth. Driven by innovations in AI chip technology and strategic regional expansions, TSMC continues to assert its market leadership position while navigating complex international dynamics.

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