RIDING THE WAVE: More than half of its planned spending of US$14 billion to US$15 billion next year would be invested on equipment for 5-nanometer chip production
Date: Dec 06, 2019
By: Lisa Wang / Staff reporter, in Hsinchu
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) yesterday said it plans to spend another US$14 billion to US$15 billion next year as accelerating deployment of 5G networks boosts demand for its advanced chips.
The company told an annual supply chain forum in Hsinchu that the planned capital expenditure — the same as this year’s level — would mainly be used on new facilities and equipment.
More than half of the spending increase will be earmarked for the mass production of chips using its 5-nanometer technology, TSMC said.
“The acceleration of 5G deployment across the world is leading to much stronger demand for our 7-nanometer and 5-nanometer capacity,” said J. K. Wang (王建光), senior vice president of TSMC’s operations and fab operations. “As a result, we [in October] raised capital spending for 2019 by US$4 billion. We expect next year’s capital spending will be at a similar level.” [FULL STORY]