Thanks To TSMC's New Factory, Apple Finally Uses An American Artificial Chip

JAKARTA - Apple will eventually use the United States (US) chip for its iPhone, iPad and Mac product lines, thanks to a new factory owned by the Phoenix-based Taiwan Semiconductor Manufacturing Company (TSMC) company, Arizona, USA.

The chip will be produced directly by TSMC, which has become Apple's subscription to power its various smart devices.

At the inauguration of the factory, Apple CEO Tim Cook and US President Joe Biden were also present last week. Cook said he was very proud that in the end Apple could use US-made chips.

"Today is just the beginning. Today we combine TSMC's expertise with unmatched American workers," Cook said.

"Thanks to the hard work of many people, this chip can be proud to be branded as Made in America. (This) is a very significant moment," he added.

Meanwhile, Biden expressed concern that Apple often uses chips that are not produced in its own home country, but now the suffering is over.

"Apple has to buy all the advanced chips from abroad, now they will take home more of their supply chains," said Biden, who also said using this US-made chip could change the game.

The factory customers are not only Apple, but AMD and Nvidia. With the presence of this new facility, it means that the supply of chips will be safer and a faster production schedule.

Launching The Verge, Monday, December 12, the factory is a large modern building surrounded by a new paved road. TSMC is a special casting, where it makes chips that are then designed by other companies.

Apple, AMD, and Nvidia are among its biggest customers and even Intel relies on TSMC to make the most advanced processors.

The first Phoenix manufacturer will make a 4nm processor, with the production schedule starting in 2024. As previously reported, TSMC will also begin construction of a second plant in Phoenix next year that will start producing 3nm chips in 2026, to increase the site's annual results.

TSMC said it would invest $ 40 billion, equivalent to IDR 625 trillion in its Arizona plant, which is one of the largest foreign direct investments ever made in US manufacturing.

It is claimed the two factories will generate more than 600,000 wafers annually by 2026, which the government says will be sufficient to meet all US requests for advanced chips.

Higher Higher Chip

Neither Apple nor other TSMC customers revealed how many chips they bought from the factory, but 3nm and 4nm chips would be more sophisticated than they currently use.

Apple's A16 chip used on the iPhone 14 Pro and Pro Max and the M2 chip for the MacBook are both made with 5nm process technology.

However, by the time the Arizona manufacturer operates, TSMC will be producing more advanced chips at foreign facilities. The company plans to manufacture 2nm chips by 2025.

This TSMC move makes Apple independent of its dependence on China, where Apple has spent recent years working to expand its supply chain outside the Bamboo Curtain country to prevent possible future disruptions.

This is due to a zero-COVID policy affecting technology manufacturing facilities in China, causing Apple to delay sales of the iPhone 14 Pro and iPhone 14 Pro Max.

Now, Apple is going to produce multiple iPhones in India, and wants to expand production of MacBook and Apple Watch into Vietnam. The presence of TSMC's tidal devices does not mean the iPhone is fully produced in the US, but they will provide important components used in Apple products.