TSMC has enjoyed a pull-in of chip orders demanding advanced 7nm node manufacturing, with order visibility stretching through the first half of 2020, according to sources in Taiwan's IC design sector.
TSMC has seen 7nm chip orders for 5G and AI device applications ramp up particularly from China, where local fabless chipmakers have been keen on developing their in-house supply capability, the sources indicated. TSMC's IC design service partners including Global Unichip and Alchip Technologies have also enjoyed a ramp-up in orders for mainly non-recurring engineering (NRE) designs from China, the sources said.
Meanwhile, TSMC will be fulfilling 7nm chip orders placed by its major clients including Apple, Qualcomm and HiSilicon with the majority of its available 7nm process capacity being utilized through the first half of 2020, the sources noted.
Taiwan-based fabless chipmakers are considering placing orders or followed-up orders in advance with TSMC, which is believed to see its advanced node production capacity stay tight during 2020, the sources said. The IC design houses may begin to queue up in order to secure production capacity from TSMC next year for advanced processes including 10nm, 12nm and 16nm in addition to 7nm, the sources indicated.
Article translated by Jessie Shen
