TSMC to end 6-inch wafer production in two years
Taiwan Semiconductor Manufacturing Co. (TSMC) will shut down its 6-inch wafer business within the next two years and continue to consolidate its 8-inch wafer business as part of a plan to improve efficiency and focus on larger wafer production
ANI
Aug 13, 2025 12:45 IST
Taipei [Taiwan], August 13 (ANI): Taiwan Semiconductor Manufacturing Co. (TSMC) will shut down its 6-inch wafer business within the next two years and continue to consolidate its 8-inch wafer business as part of a plan to improve efficiency and focus on larger wafer production, according to a report by Focus Taiwan.
TSMC confirmed that ending the 6-inch wafer business will not affect its sales forecast for 2025. The company is working closely with clients to help them through the transition, assuring that it will try its best to meet their demand and continue to create value for its business partners and the market.
Currently, TSMC operates four 12-inch gigafabs, four 8-inch fabs, and one 6-inch fab in Taiwan. Industry reports suggest the phased-out 6-inch plant may be converted into an advanced integrated circuit (IC) assembly site to meet the booming need for AI technology.
The world's largest contract chipmaker said the move aligns with market needs and its long-term development strategy. In an investor conference in mid-July, the firm raised its growth projection for next year to around 30 per cent from an earlier range of 24-26 per cent, pointing to rising global demand for artificial intelligence applications.
The company's board, after a two-day meeting that ended Tuesday, approved capital appropriations worth about USD 20.66 billion for long-term capacity plans. These funds will go toward installing advanced technology capacity, packaging facilities, mature and specialty technology lines, as well as building and equipping new fabs.
In the same meeting, the board also cleared a plan to issue up to NTD 60 billion (USD 1.998 billion) in unsecured corporate bonds in the local market to finance capacity expansion and green projects. To reduce foreign exchange hedging costs, TSMC will inject up to USD 10 billion into its wholly-owned subsidiary, TSMC Global.
The board also approved a NTD 5 cash dividend per share for the second quarter, unchanged from the first quarter. The payout, based on earnings per share of NTD 15.36, comes after TSMC posted a record net profit of NTD 398.27 billion (USD 13.303 billion) in the quarter, driven by strong demand for high-performance computing devices, smartphones, IoT products, and consumer electronics. (ANI)
Get the App
