TSMC Awarded $6.6 Billion in CHIPS Act Funding for Arizona Fabs

The Biden-Harris Administration has awarded Taiwan Semiconductor Manufacturing Company (TSMC) $6.6 billion under the CHIPS and Science Act. This funding will support the development of three advanced chip fabrication facilities in Arizona. The award follows a preliminary grant in April and aims to strengthen the American semiconductor supply chain and reduce reliance on Asian manufacturing. Advanced Chip Production in Arizona TSMC's Arizona facilities will produce chips using advanced process technologies, ranging from 5nm to the cutting-edge 1.6nm (A16) node. The first fab is expected to begin production in mid-2025, focusing on 5nm and 4nm chips commonly used in GPUs and high-performance computing. The second facility will manufacture 3nm chips, while the third, slated for production by the end of the decade, will handle 2nm production. This marks a shift from earlier plans where 2nm production was expected at the second facility. The $6.6 billion direct funding is supplemented by $5…