Support TSMC’s U.S. factory: Apple confirms order, self-developed chips will be manufactured in the U.S. for the first time

After TSMC announced a new second factory in Arizona, Apple CEO Tim Cook came out late on Tuesday to support that the company will make chips in the United States for the first time in nearly a decade. .

In his latest speech, Cook said that when TSMC’s U.S. factory opens in 2024, Apple will expand its cooperation with TSMC, and by then the self-developed chips used in most of the company’s equipment will be produced in the Phoenix factory. Currently, TSMC is already producing chips for Apple.

"Now, thanks to the hard work of so many people, these chips can be proudly labeled 'Made in the USA.' This is an incredibly important moment," he said.

Typically, companies such as Apple and Nvidia design their own chips but outsource manufacturing to companies such as TSMC and Samsung Foundry. TSMC is the world's largest foundry company, with more than half of the global market share. The company makes state-of-the-art processors, including the chips used in the latest iPhones, iPads and Mac computers.

Cook said, "As many of you know, we partner with TSMC to make the chips that power our products around the world. We look forward to expanding this presence in the coming years as TSMC establishes new, deeper roots in the United States." work."

"Apple previously had to buy all its advanced chips from overseas, and now they will bring more of the supply chain back home. This could be a game changer," he added.

The Arizona factory will be partially subsidized by the U.S. government. Earlier this year, Biden signed the Chip and Science Act, which included billions of dollars in incentives for companies to build chip manufacturing capabilities here in the United States.

TSMC said on Tuesday it would invest $40 billion in two factories in Arizona. The first factory in Phoenix is ​​expected to produce chips in 2024. According to the Biden administration, the second factory will open in 2026.

According to the National Economic Council, when TSMC's factory is fully operational, it will produce 600,000 wafers per year, enough to meet annual demand in the United States. However, U.S. factories will account for only a small portion of TSMC's total production capacity. TSMC produced 12 million wafers in 2020.

In addition, AMD CEO Lisa Su also said on Tuesday that the company plans to become an important user of TSMC's Arizona wafer fab.