Apple Supplier TSMC Delays Production of 4nm Chips at Arizona Factory Due to Skilled Worker Shortage

[MacRumors]

Apple supplier TSMC has been working on building a chip manufacturing plant in Arizona where it plans to manufacture chips for Apple, but mass production is set to be delayed because of a worker shortage.

According to The Wall Street Journal, TSMC is finding it difficult to hire people with expertise in building semiconductor factories in the United States. TSMC may have to bring in experienced technicians temporarily from Taiwan, which would delay production of the first 4nm chips until 2025.

"We are now entering a critical phase of handling and installing the most advanced and dedicated equipment. However, we are encountering certain challenges," said TSMC Chairman Mark Liu.

Reports in November suggested that TSMC would use its Arizona plant to begin manufacturing 4-nanometer chips for Apple as soon as it opened in 2024. Apple and other suppliers are eager to be able to source chips from the United States, so the manufacturing delay could potentially impact Apple's 2024 device plans.

After manufacturing 4-nanometer chips, TSMC plans to build an adjacent facility that will produce more advanced 3-nanometer chips for Apple. Apple's upcoming iPhone 15 models and its future M3-series chips are expected to be built on TSMC's 3-nanometer node, but initial chips will come from Taiwan factories.

Article Link: Apple Supplier TSMC Delays Production of 4nm Chips at Arizona Factory Due to Skilled Worker Shortage

 

[Apple Fan 2008]

I'm glad to hear more that U.S manufacturing is coming. I hope it works out.

 

[GMShadow]

Reportedly, some of the issue is that Intel (which also has tons of fabs/expansion in the area) pays better, and has better hours.

 

[HackMacDaddy]

Why 4nm when 3nm is already there?

 

[Mr. Dee]

What did you expect from a consumption society? The hires they already have probably called in sick to go watch Barbie/Oppenheimer double feature.

 

[t0rqx]

This is where AppleGPT gonna be useful in the future.

 

[KENESS]

Why 4nm when 3nm is already there?

The flagship chips usually get the best that is available as soon as possible, but a lot of ancillary chips don't need it, and wouldn't benefit (enough to matter) from it.

 

[iObama]

Then pay them well.

 

[SW3029]

THIS is the problem with manufacturing in America. It's not that Americans get higher wages, it's that a large enough number of Americans don't have the skills needed by today's high-tech manufacturers. Companies have no choice but to turn to Asia and India. America is so behind the rest of the world it's not even funny.

 

[Kierkegaarden]

Why 4nm when 3nm is already there?

And it won’t even be operational until next year at the earliest. Meanwhile, 3nm tech is rumored to be making its way into iPhones this year and Macs and iPads after that. These aren’t morons, and I don’t know the chip business, but it doesn’t make sense — I must be missing something.

EDIT: I was missing something, as another user pointed out — Apple isn’t the only customer of TSMC — a fact that seemed to escape my little feline mind.

 

[TheYayAreaLiving 🎗️]

Maybe I should consider applying for a job there. Do they pay well?

 

[milkrocket]

THIS is the problem with manufacturing in America. It's not that Americans get higher wages, it's that a large enough number of Americans don't have the skills needed by today's high-tech manufacturers. Companies have no choice but to turn to Asia and India. America is so behind the rest of the world it's not even funny.

If villagers in china and india manage just fine, pretty sure the problem isn't skills.

They just don't wanna pay

 

[Hastings101]

THIS is the problem with manufacturing in America. It's not that Americans get higher wages, it's that a large enough number of Americans don't have the skills needed by today's high-tech manufacturers. Companies have no choice but to turn to Asia and India. America is so behind the rest of the world it's not even funny.

It may be true that there are not enough Americans entering this field, but considering I can find dozens of articles about problems concerning wages and work culture at this plant I suspect there's a little more at play here than just shortage.

 

[Leon Ze Professional]

THIS is the problem with manufacturing in America. It's not that Americans get higher wages, it's that a large enough number of Americans don't have the skills needed by today's high-tech manufacturers. Companies have no choice but to turn to Asia and India. America is so behind the rest of the world it's not even funny.

The flipside to a lack of skillsets is that it can always be overcome by providing resources and adequate training. The only thing TSMC need to do is identify people with potential to succeed in said roles.

 

[temende]

Working at a chip fab factory is a brutal job since the factory needs to be utilized 24/7 for it to be financially worth it. Given that the unemployment in America is amongst the lowest it's ever been it's unsurprising they're unable to find enough labor. Most likely they will need to dramatically improve the compensation in order to get the talent they need.

 

[anthogag]

Okay, stop complaining and git'r done. 🤌

All 👆 tech should be in North America.

 

[temende]

And it won’t even be operational until next year at the earliest. Meanwhile, 3nm tech is rumored to be making its way into iPhones this year and Macs and iPads after that. These aren’t morons, and I don’t know the chip business, but it doesn’t make sense — I must be missing something.

I think what you're missing is that there are tons of other companies other than Apple that still buy large amounts of 4nm (and even older) chips from TSMC.

 

[EugW]

If villagers in china and india manage just fine, pretty sure the problem isn't skills.

They just don't wanna pay

No. The pool of skilled workers for this type of thing is much larger in Asia.

 

[KENESS]

And it won’t even be operational until next year at the earliest. Meanwhile, 3nm tech is rumored to be making its way into iPhones this year and Macs and iPads after that. These aren’t morons, and I don’t know the chip business, but it doesn’t make sense — I must be missing something.

The 4nm process isn't for the latest greatest A-series or M-series chips. There are a gazillion other chips that these fabs are popping out all the time which aren't 3nm. Plus, a chip that was designed at 4nm, but still in production, can't just "change" and become 3nm once that is manufacturable.

I suspect it was easier to start with something that wasn't bleeding edge, and then once that's settled in, continue on from there. The article mentioned a followup facility next door that would be 3nm for (mostly) Apple.

That said, 4nm isn't exactly... old. It is still WAY more advanced than a lot of supplemental chips (not main CPU) would ever need.

 

[tekchic]

This is not due to a lack of skilled workers. That area in particular in AZ has Honeywell, Motorola, Intel, etc. TSMC has two things I've heard through the Phoenix watercooler: 1) They won't pay as well as the guys mentioned above, 2) The culture of TSMC is party line... no questions, work hard (overwork), etc.

That doesn't fly so well with a US engineering workforce.

 

[IAmStumped]

Maybe I should consider applying for a job there. Do they pay well?

Not as well as Intel, apparently.

 

[segfaultdotorg]

NoBoDy WaNtS tO wOrK aNyMoRe!

 

[anthogag]

This is not due to a lack of skilled workers. That area in particular in AZ has Honeywell, Motorola, Intel, etc. TSMC has two things I've heard through the Phoenix watercooler: 1) They won't pay as well as the guys mentioned above, 2) The culture of TSMC is party line... no questions, work hard (overwork), etc.

That doesn't fly so well with a US engineering workforce.

It's true, TSMC's complaining-like-a-baby is probably really about their preference for Taiwan workers.

 

[chych7]

TSMC's Asian slave worker mentality doesn't really jive with American ideas of what work-life balance should be. Intel is right down the street and pays well comparably.

 

[scaramoosh]

I'm surprised robots cannot just make everything from start to finish by now and replace the workers? This was the promise of the west when I was a kid, all the low end jobs would be gone, but it wouldn't matter as everyone would be middle class and populations would be decreasing. Instead what happened is they just sent all the jobs abroad, while increasing immigration which is causing populations to rise and wages to decrease in relative terms.

Edit: The even worse thing is no one in the west wants a normal job now. They've all grown up on the internet thinking life is one big holiday, so I'm not surprised that the mid skilled level is having a hard time to find people. However these companies need to be willing to train people like they used to, they all just stopped years ago because it costs a lot of money.... But it is the only way. Although I think they'd just close shop and move to India instead.